Tesla CEO Elon Musk has defended the Cybertruck’s commercial performance and the company’s decision to end production of the electric pickup, arguing that customer orders currently exceed manufacturing capacity. However, Tesla plans to redirect the factory resources used for the vehicle towards expanding production of its Cybercab autonomous robotaxi.
Musk said in a post on X on Monday that Cybertruck production would end in approximately eight months. Tesla intends to manufacture as many vehicles as possible before the shutdown, although the company will have to return deposits to some customers whose orders cannot be fulfilled.
He rejected suggestions that the Cybertruck was being discontinued because it was unprofitable. Instead, Musk said the decision reflected the greater potential value of using the manufacturing capacity for another vehicle programme.
opportunity cost of the complexity of Cybertruck is vastly outweighed by the value of incremental Cybercab production.
Tesla Prioritises Cybercab Manufacturing Capacity
The production shift is intended to free up factory space and resources for the two-seat Cybercab, Tesla’s autonomous ride-hailing vehicle.
Musk said last week that the company planned to use the capacity currently dedicated to Cybertruck manufacturing to increase Cybercab production.
The decision reflects Tesla’s growing focus on autonomous mobility and its ambition to develop a robotaxi business alongside its electric vehicle operations.
Rather than continuing to manufacture the Cybertruck, Tesla appears to believe that expanding Cybercab output offers a stronger commercial opportunity. The company has not disclosed detailed production targets for the additional robotaxis that could be built using the freed-up capacity.
Cybertruck Sales Fall Short of Early Expectations
The Cybertruck initially generated considerable interest following its unveiling, with Musk previously claiming that reservations had reached approximately one million.
When customer deliveries began in late 2023, Tesla expected the electric pickup to become a major product. Musk had projected annual sales of around 250,000 vehicles.
However, reservations did not translate into sales at the anticipated scale. Tesla does not report Cybertruck deliveries separately in its financial disclosures, but industry estimates put cumulative sales at approximately 71,000 units since deliveries began in November 2023.
The gap between early expectations and actual market demand has raised questions about the vehicle’s commercial performance, particularly as Tesla has faced challenges expanding its customer base for the unconventional electric pickup.
Corporate Purchases Contribute to Cybertruck Demand
Some Cybertruck purchases have also come from companies associated with Musk.
SpaceX, which Musk leads and holds a major ownership interest in, purchased approximately $131 million worth of Cybertrucks from Tesla in 2025, according to SpaceX’s S-1 registration statement filed ahead of its initial public offering.
Another Musk-led company, xAI, separately purchased approximately $430 million worth of Tesla Megapacks for its data centre operations before merging with SpaceX.
These transactions illustrate the commercial relationships between Musk’s companies, although they do not establish how much of Tesla’s overall Cybertruck demand comes from affiliated businesses.
Production Shutdown Could Create a Final Sales Boost
The planned end of Cybertruck manufacturing could generate additional interest among buyers seeking to purchase the vehicle before production stops.
Limited availability and the prospect of the model becoming discontinued could support a temporary increase in demand. However, it remains uncertain whether this effect will significantly change the vehicle’s overall sales performance.
The Cybertruck’s production wind-down also marks a shift in Tesla’s manufacturing priorities. The company is increasingly directing resources towards autonomous driving and robotaxi operations, with Cybercab production taking precedence over continued expansion of its electric pickup lineup.