HW3 Won’t Achieve Unsupervised Autonomy

During the company’s first quarter 2026 earnings call, Musk confirmed the news, while sharing that Tesla would offer “discounted trade-in for cars that have AI4.”

Ross Gerber Criticizes Move

Following the announcement, investor Ross Gerber of Gerber Kawasaki took to the social media platform X, expressing his disappointment. “Not a good conference call for current tesla owners,” he said, adding that all HW3 “screwed” by Tesla. “They sold about 3 mil of these teslas and about 285k have FSD,” he said, adding that the liability could be in “billions.”

Tesla’s Earnings Call

Tesla reported its earnings after the market close on Wednesday, recording first-quarter 2026 revenue of $22.71 billion, up 16% YoY and beating analyst consensus of $22.39 billion. Tesla also reported earnings per share of 41 cents, beating market estimates of 37 cents per share.

According to Benzinga Edge Rankings, Tesla offers satisfactory Momentum, but poor Value. It provides a favorable price trend in the Long term.

Price Action: TSLA declined 0.31% to $386.30 in the after-hours trading session on Wednesday.

Check out more of Benzinga’s Future Of Mobility coverage by following this link.

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