Part 8/12:

The Power of Multiple S-Curves: Autonomy and Energy Markets

Beyond vehicles, Tesla's Full Self-Driving (FSD) and AI capabilities represent another monumental S-curve. Musk has frequently highlighted that Tesla's AI and autonomous driving features could sustain long-term, high-margin revenues over decades rather than years—an important arrow in Tesla's long-term quiver.

While the energy business—solar, storage, and other renewables—has substantial market potential, Lee expresses skepticism about sustaining incredibly high margins in this sector indefinitely. He sees the FSD and AI sector—especially full autonomy—as capable of supporting massive, durable profits, with margins that could persist or even expand over 20-30 years.