Tesla TSLA Shares Plunge 3.68% Amid Chip Strategy Shifts Cybertruck Sales Woes

Tesla Inc. shares plunged 3.6756% in pre-market trading on Nov. 10, 2025, as investor sentiment turned cautious amid strategic shifts and operational challenges.

Analyst Ming-Chi Kuo highlighted Elon Musk’s recent emphasis on Tesla’s semiconductor roadmap, confirming the company’s push to build in-house chip production. Musk’s comments at a shareholder meeting suggested an aggressive timeline to transition from AI5 to AI6 chips within a year, a move Kuo attributes to geopolitical risks, R&D flexibility, and vertical integration goals. However, Gene Munster of Deepwater Asset Management warned that diverting $20 billion to chip fabrication may not be the most efficient use of capital, despite Musk’s claims of cost and performance advantages over rivals like Nvidia.

Compounding concerns, Tesla’s Cybertruck program head, Siddhant Awasthi, announced his departure after eight years at the company. Awasthi, who oversaw the Model 3, Shanghai Gigafactory development, and Cybertruck rollout, cited a “super flop” in sales performance for the latter, which has struggled to move more than 25,000 units annually despite a production capacity of 200,000. Meanwhile, Tesla’s India sales for October 2025 dropped 37.5% to 40 Model Y units, underscoring challenges in penetrating competitive emerging markets.

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