Tesla's shares rose by around 6.6% following the Morgan Stanley note, potentially adding about $43 billion to the company's market value. The company began production of the Dojo supercomputer in July to train AI models for self-driving cars and plans to invest more than $1 billion in the project through the next year.
Key takeaways:
- Mogan Stanley predicts that Tesla's Dojo supercomputer will increase the company's value by around $500 billion by accelerating the adoption of robotaxis and network services.
- The Dojo supercomputer could open up new markets for Tesla, similar to what AWS did for Amazon, according to Morgan Stanley analysts.
- The Wall Street brokerage expects Dojo to drive the most value in software and services, and has raised the revenue estimate for Tesla's network services business from $157 billion to $335 billion in 2040.
- The Dojo supercomputer, designed to handle massive amounts of data in training driving systems, could give Tesla an edge in AI and self-driving technology.