.jpg)
1 hour ago
3
Article content
Tesla Inc. revealed plans to invest US$2 billion into chief executive Elon Musk’s artificial intelligence company, xAI Corp., while reporting higher-than-expected profit for the fourth quarter.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account
- Share your thoughts and join the conversation in the comments
- Enjoy additional articles per month
- Get email updates from your favourite authors
Sign In or Create an Account
or
Article content
“Together, the investment and the related framework agreement are intended to enhance Tesla’s ability to develop and deploy AI products and services into the physical world at scale,” Tesla said in its quarterly statement.
Article content
Article content
Article content
The investment underscores the deepening ties between Musk’s business interests and highlights Tesla’s growing focus on AI. The EV maker has been increasingly emphasizing AI, driverless technology and humanoid robots as its traditional business of selling automobiles has struggled.
Article content
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
In November, Tesla’s board said it would look further into the investment after investors didn’t formally approve it in a vote at the annual shareholders meeting. The two companies already work together. Tesla sells megapacks to xAI and xAI’s Grok chatbot is integrated into some Tesla vehicles. Bloomberg also reported that xAI told told investors that its aims to build AI that will eventually power humanoid robots such as Optimus.
Article content
Adjusted earnings per share were 50 cents in the quarter, Tesla said Wednesday, higher than the average of analyst estimates. The results snap a string of quarters in which profit was weaker than expected.
Article content
The better-than-expected profit is a positive sign as Tesla navigates lower EV demand and pivots to robotics and autonomy products. Musk has previously warned the company faces a rough patch while it works on these new priority areas.
Article content
The shares rose 3.4 per cent at 4:20 p.m. in extended trading in New York. The stock rose 11 per cent in 2025, underperforming the S&P 500 Index.
Article content
Article content
English (US)