Yahoo Autos Tesla keeps touting future plans. But without specific details, investors aren't buying it.
Hi! Forget flying cars, we've got laser beams! The UK has tested a laser weapon that eliminates targets for $0.12 a shot.
In today's big story, we're looking at another Tesla earnings report that was light on details about big future plans.
What's on deck:
Markets: How the "Zynpocalypse" is shaking Wall Street to its core.
Tech: The key people who helped Nvidia evolve from a niche video game graphics company to an AI giant.
Business: Overcoming an outdated building code could be key in the fight to fix the housing crisis.
But first, we're talking big picture.
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The big story
Tesla's unspecific future
Like a magic trick seen too many times, Tesla's strategy of touting future plans in the face of difficult fundamentals is losing its luster with investors.
The EV maker's earnings per share missed estimates for the fourth straight quarter on Tuesday. But Elon Musk can often help the market overlook bad numbers by shifting focus to what's next.
The approach worked well last quarter when Tesla's earnings report was even worse than expected. Talk of the Robotaxi, full self-driving technology, and a cheaper Tesla vehicle helped the EV maker enjoy a nice market rally the past few months after a difficult start to the year.
However, big-picture plans without concrete details fell flat for investors this time around. Tesla's shares dropped more than 8% at one point in after-hours trading Tuesday. As Business Insider's Katherine Tangalakis-Lippert and Hannah Getahun write, that's probably got Musk feeling a little nervous.
Even one of the big takeaways from last quarter — a Robotaxi event in August — was confirmed by Musk to be delayed to October 10.
Meanwhile, Musk was light on specifics about when Robotaxi trips will be possible (he'll be "shocked" if the first ride doesn't happen next year) or what a more affordable Tesla model would look like.
Musk somewhat acknowledged his tendency to make big promises for plans without backing them up.
"My predictions on this have been overly optimistic in the past," he said in response to a question about the first Robotaxi ride.
It wasn't all bad news for Tesla.
The EV maker beat revenue estimates, posting $25.5 billion for the quarter. But that was buoyed by doubling its regulatory credit revenues from the first quarter to $890 million, writes BI's Nora Naughton.
It's Tesla's silver lining amid the EV market slowdown. With fewer EV sales, car makers rely on buying Tesla's excess credits or facing hefty penalties.
But as beneficial as competitors were to Tesla this quarter, others seem to be gearing up for battle. Alphabet announced a "multi-year investment of $5 billion" in Waymo, its self-driving car service, writes BI's Jordan Hart.
Alphabet CEO Sundar Pichai said Waymo has provided over 50,000 paid autonomous rides each week in San Francisco and Phoenix.
Waymo has had its own issues, including issuing a recall earlier this year. But the tech giant's intention to focus on the space could pose more problems for Tesla.
3 things in markets
Supply and demand, under the Zynfluence. Wall Street's favorite nicotine pouch hit a supply-chain snag earlier this year. To cope with the shortage, some bankers tested out alternatives, while others quit the drug completely
A playbook for navigating market chaos. Truist's investment chief and chief market strategist sees US stocks getting choppier in the months ahead as the tech sector cools. But Keith Lerner says there are opportunities in communication services and utilities, among other areas.
More data to give the economy a boost. The release of second-quarter GDP data on Thursday and the June PCE index on Friday could keep the market rally going, according to market vet Ed Yardeni. More strong earnings reports will also help quiet bearish investors.
3 things in tech
These 13 people transformed Nvidia into the powerhouse chipmaker it is today. Nvidia grew from a video game graphics company to an AI giant dominating the semiconductor market. BI profiled Jensen Huang and 12 other people instrumental in its rise.
Big Tech execs discuss the use of AI in Hollywood. Executives from Nvidia, AWS, Microsoft, and Paramount convened at the Digital Hollywood summit to talk about how to use AI — and the use cases go beyond reverse-aging famous actors. BI rounded up seven of the startups AI and entertainment leaders have their eyes on.
Google really wants its workers to find AI's "golden prompts." The company held a competition for employees to pitch prompts for its new Workspace product. The prize? Gold bomber jackets and spot bonuses for workers with the best ideas.
3 things in business
A small change in building codes could revolutionize US housing. Most US apartment buildings require two sets of stairs for buildings more than three stories tall. But do we really need two stairwells? Some industry experts argue a one-stairwell requirement would suffice, and lead to more units, lower prices, and better design.
The superrich are renters just like the rest of us. It just costs them a lot more. Two residential buildings in New York charge more than $100,000 a month for some apartments, a sign of the shifting preferences among the ultra-wealthy. These buildings offer hotel-like amenities, designer furnishings, and a perfect match for the billionaire commitment-phobe.
Google won't kill off cookies, but the ad industry shouldn't celebrate just yet. This week, Google abandoned its plan to eliminate third-party cookies. While the announcement initially sparked relief, some in the ad industry wonder if Google still intends to effectively deprecate cookies.
In other news
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My honest review of working at Amazon for 7 1/2 years as a software engineer.
Spotify jumps 14% after the music-streaming giant reports record profit in the 2nd quarter.
This scientist who worked for Jeff Bezos and Bill Gates is now a VC funding other 'mad scientists.'
A 19-year-old real-estate agent has found an ingenious new way to sell homes and make money.
What's happening today
President Biden gives his first speech since dropping out of the presidential race at 8 p.m. EDT.
Israeli prime minister Benjamin Netanyahu addresses US Congress.
Some Olympic sporting events begin, two days before the Paris opening ceremony.
IBM, AT&T, Ford Motors, and other companies are reporting.
New Samsung devices, including foldable smartphones and the Galaxy Ring fitness tracker, are available for purchase in the US.
The Insider Today team: Dan DeFrancesco, deputy editor and anchor, in New York. Jordan Parker Erb, editor, in New York. Hallam Bullock, senior editor, in London. Annie Smith, associate producer, in London. Amanda Yen, fellow, in New York.
Read the original article on Business Insider
