Written by: Wang Xin

Art Editor: Yang Lingxiao

Produced by: Electric New Species

Tesla is once again capturing the industry's spotlight.

On December 16 (local time), Tesla's stock closed at nearly US$490 on the US market, achieving its highest-ever closing price and a market capitalization of approximately US$1.63 trillion. This solidifies its position among the world's leading publicly traded companies.

However, this surge was not sparked by a sudden 'black swan' event or mere market trends. The primary driving force was the unveiling of a truly autonomous Robotaxi test vehicle in Austin, Texas, which operated without a safety driver or manual steering wheel intervention.

The news triggered an immediate market response, with analysts raising target prices, maintaining ratings, and funds following suit.

Furthermore, the market's perception of Tesla is undergoing a transformation. It is no longer viewed solely as an electric vehicle manufacturer but as a tech company poised for new growth in autonomous driving, AI, and even the commercialization of robotaxis.

01 Robotaxi: From Concept to Reality

The direct catalyst for this market rally is undeniably linked to Robotaxi.

Over the past few years, autonomous driving has been a topic of intense discussion and skepticism in capital markets. Many companies can articulate their technological paths but have struggled to transition from theoretical concepts to real-world road testing.

Tesla's recent shift lies in its move from emphasizing 'future possibilities' to directly deploying vehicles on the road.

In Austin, Texas, unmanned Robotaxi testing has commenced. This is not a controlled demonstration on a closed course or limited route but a validation in a genuine urban road environment.

This step sends a clear message to the market: autonomous driving has evolved from 'theoretically feasible' to 'practically operational.'

This is precisely why investors are re-evaluating Tesla's long-term value. Once Robotaxi enters the scaling verification phase, the valuation logic will shift. Tesla will no longer be perceived merely as a car seller but as a potential mobility platform.

More importantly, Tesla's approach is straightforward. It has not introduced complex sensor combinations or pursued an overly customized route. Instead, it leverages its existing vehicle system, advancing through continuous software upgrades.

If this path proves successful, the replication speed will be rapid, and the cost structure will differ significantly.

The market is not betting on immediate profits but on the strong marginal expansion capability once this model is established.

02 Valuation Re-evaluation: The Decline of the 'Automaker' Identity

Another deeper reason for Tesla's rising market capitalization is its gradual departure from the 'automaker' label in the market's eyes.

Traditional automotive companies are valued primarily based on sales volume, gross margin, and cyclical fluctuations. However, recent discussions about Tesla have increasingly focused on its software, autonomous driving, and AI capabilities rather than monthly sales figures.

This shift is not merely sentiment-driven but fact-based. Tesla has invested heavily in AI training, computational power infrastructure, and chip self-research. While these investments may temporarily lower profit performance, capital markets view them as technological asset accumulation.

When a company's core capabilities shift toward software and algorithms, the valuation method naturally evolves. Many institutions now evaluate Tesla not just against traditional automakers but within a broader tech company framework.

The rapid stock price recovery reflects this 'identity switch.' The market has accepted that Tesla's growth trajectory is no longer entirely dependent on the automotive market cycle.

This does not diminish the importance of the automotive business. On the contrary, its existing large vehicle base provides a realistic foundation for autonomous driving and subsequent services. Hardware deployment followed by software upgrades—a structure familiar in the tech industry—underpins Tesla's strategy.

03 Long-Term Narratives Outweigh Short-Term Volatility

From a temporal perspective, Tesla's stock price performance this year has been uneven. The market has not forgotten the significant retreat at the beginning of the year.

However, this volatility makes the recent surge more credible. The stock price was not pushed higher solely by sentiment but was bought back after experiencing skepticism and corrections.

This indicates that investors are not overlooking real challenges but are re-weighing priorities. Short-term profit pressures and cyclical fluctuations persist.

Yet, with the gradual implementation of narratives around Robotaxi, autonomous driving, and AI, the long-term potential has begun to carry greater weight.

Capital markets are pragmatic. They do not pay for visions alone, nor do they panic over noise. They are willing to pay for certainty.

Currently, Tesla is providing a new kind of certainty: autonomous driving is crossing a critical threshold.

This is why, despite a challenging macroeconomic environment, Tesla can still chart an independent course. It is not that the market is ignoring risks but that the relative position of risks has changed.

Summary: Tesla Enters a 'Harder-to-Replicate' Stage

Returning to the initial question: Why now, and why US$1.63 trillion?

The answer is straightforward. Tesla is transitioning from 'selling products' to 'building systems,' evolving from a single revenue model to a multi-layered value structure. Once this transformation is established, it will no longer be easily replicated.

Robotaxi is not a straight path, nor is it achieved overnight. But it has already begun to replace imaginative potential with real-world progress. What the market sees is not a distant future but an unfolding process.

The new stock price high is not an endpoint but a milestone. It marks Tesla's completion of a phased identity confirmation.

From this moment onward, Tesla will face competition not just within the automotive industry but in a broader technological arena.

This is why this round of gains, while not noisy, appears exceptionally solid.