Musk often brags about how his products are either changing the world now, or will do so in the future. One of his favorite recent topics is Tesla Robotaxi. Tesla has teased its Robotaxi program since Musk first mentioned it in 2016. As recently as last year, Musk claimed there would be 1 million of them on the road by 2025.

Tesla stock came under pressure on Wednesday after touching an all-time high earlier in the session, as investors reacted to fresh regulatory scrutiny in California that could complicate the company’s ambitions for self-driving technology.

California’s many Tesla dealerships are now under threat. The head of California’s Department of Motor Vehicles said on Tuesday that if the carmaker does not correct its “misleading” branding of “Autopilot,” Tesla will be blocked from selling cars in the state for 30 days.

The optimism centers around Chief Executive Officer Elon Musk’s aspiration to turn Tesla into a powerhouse in robotics and AI, the booming technology that has driven global stocks to record highs. The company’s push into autonomous vehicles has drawn praise from analysts, with some saying Tesla will be a “game changer” in this field.

Rivian revealed ambitious plans for fully autonomous driving, featuring an in-house chip, an in-car AI assistant, and a Tesla-like subscription model.

Ross Gerber, a longtime Tesla investor and founder of Gerber Kawasaki Wealth & Investment Management, has become a Tesla bear. He’s betting Tesla won’t catch up to Waymo in the self-driving car race, citing the company’s failure to implement new technology along with its soiled reputation as reasons it is falling behind.

The judge ruled Tesla should have to suspend manufacturing and sales in California for 30 days, but the DMV stayed those rulings for 90 days to allow Tesla to comply.

Tesla-investor-turned-bear Ross Gerber says that Elon Musk needs to show results on the company's biggest initiatives in 2026 or face investor backlash.

Tesla stock rebounded strongly early Thursday following a volatile prior session that saw the stock swept up in a broader selloff tied to artificial intelligence-related names. Shares of the electric-vehicle maker were up around 5% at $490.