Tesla (NASDAQ: TSLA) is facing significant challenges in 2025, including sales declines in key markets and consumer backlash due to CEO Elon Musk’s political actions. In response to recent pressures, Tesla is now testing driverless Model Y vehicles on public streets in Austin, Texas. These tests indicate a slow rollout with plans to geofence vehicles in the safest areas, starting with a few units and aiming to scale to around 1,000 vehicles.
On May 28, Musk announced his exit from a role with the Trump administration, signaling a potential easing of consumer backlash linked to his political involvement. Analysts remain cautiously optimistic, citing Tesla’s opportunity to capture the autonomous vehicle market, with projections of a $2 trillion valuation over the next 12 to 18 months.
