Tesla surprises Wall Street with lower-than-expected AI spending as SpaceX merger talks heat up

Source: New York Post

Tesla reported surprise positive free cash flow for the third quarter on Wednesday after spending far less on AI and robotics than Wall Street expected, as the EV maker weighs a possible merger with CEO Elon Musk’s SpaceX. The unexpected cash flow could bolster Tesla’s case as investors weigh its value in a potential merger. But with much of its value tied to AI, robotaxis and humanoid robots, preserving cash at the expense of investment could undermine the very growth story investors are betting on.