## Tesla News Highlights for May 2, 2025
**Affordable Tesla Model Y Rumored in China**
– Reports from Chinese media suggest Tesla is preparing to launch a more affordable Model Y variant, internally dubbed “E80,” at Giga Shanghai this May.
– The rumored Model Y “E80” is expected to have stripped-down features—such as smaller wheels, single-layer side windows, fewer speakers, fabric seats without heating/ventilation, and a manual trunk—to reach a price point as low as ¥150,000–¥170,000 (about $20,500–$23,300).
– The vehicle is likely to be targeted at budget-conscious consumers and is part of Tesla’s strategy to gain a larger market share in China’s EV market[1].
**Tesla’s Robotaxi Launch in Austin Still on Track**
– Tesla is moving forward with plans to launch its Robotaxi service in Austin, Texas, with a controlled rollout scheduled for June.
– CEO Elon Musk stated that initial Robotaxi rides will be available to a select group, with only 10–20 vehicles in the starting fleet. Public access could expand by late June or July.
– The launch is seen as a significant milestone in Tesla’s ambitions for autonomous driving and transportation solutions[1].
**Rumors of Elon Musk’s Replacement as CEO—Firm Denials**
– The Wall Street Journal reported that Tesla’s board was seeking a new CEO to replace Elon Musk, allegedly prompted by board concerns over brand issues, profits, and Musk’s divided attention.
– Both Tesla and Elon Musk have quickly and publicly denied these reports, emphasizing that there is no current search for a CEO replacement.
– Tesla clarified that it had already responded to the Wall Street Journal’s inquiry, denying the story even before its publication[2][3].
**Additional Tesla Developments**
– Tesla appears to be preparing the new Cybercab specifically for upcoming Robotaxi operations, with castings accumulating at Gigafactory Texas[3].
– Tesla’s Model Y registrations have reportedly surged in China, with a recent 77% increase, indicating strong market acceptance for its newest variants[3].
– Tesla’s Q1 2025 safety report continues to highlight the strong performance of its Autopilot driver-assist system[3].
Tesla’s news cycle remains highly dynamic, with ongoing product launches, expansion into new business areas like robotaxis, and continued scrutiny over executive leadership.