Tesla Stock Slips Premarket: Elon Musk Says He’s ‘Not Losing Any Sleep’ Over Nvidia’s Alpamayo AI

• Musk said he is “not losing any sleep” over Nvidia’s Alpamayo launch and added that he hopes the effort succeeds.
• Nvidia introduced Alpamayo to tackle rare, complex driving scenarios using reasoning-based AI models.
• Tesla continues to expand real-world Full Self-Driving testing, including driverless robotaxi trials.

Tesla shares fell 0.2% in premarket trading on Tuesday as investors were unmoved by CEO Elon Musk’s attempt to play down Nvidia’s Alpamayo autonomous driving AI launch.

In a post on X, Musk said he was “not losing any sleep” over the announcement and added that he genuinely hopes Nvidia’s effort succeeds. He also said the approach reflects what Tesla is already doing, while cautioning that rare and complex edge cases remain the hardest part of self-driving.

Nvidia Targets The ‘Long Tail’ Of Autonomy

Nvidia recently introduced the Alpamayo family of open AI models, simulation tools and datasets aimed at accelerating reasoning-based autonomous vehicle development. The company said autonomous systems must safely handle a wide range of driving conditions, with rare scenarios, often referred to as the “long tail,” posing the toughest hurdles. 

Nvidia CEO Jensen Huang described Alpamayo as a turning point for physical AI, saying the models enable systems to understand, reason and act in real-world environments.

Tesla Expands Real-World FSD Testing

Musk’s comments come as Tesla continues to broaden testing of its Full Self-Driving software by testing fully autonomous robotaxis in Austin without a driver in the seat. 

Separately, Tesla’s FSD system received a positive assessment from South Korea’s Korea Expressway Corporation following a December test across highways and urban roads, with highway performance described as “excellent,” according to a report by Teslarati, while noting some remaining challenges in complex city scenarios.

Musk-Huang Ties Through xAI

Despite competing narratives around autonomous driving, Musk and Nvidia remain closely linked in the broader AI ecosystem. Nvidia is among the backers of Musk’s artificial intelligence startup xAI, which is raising a large funding round tied to the purchase of Nvidia processors for its Colossus data center project in Memphis, according to a Bloomberg report.

Huang has publicly praised Musk’s ventures, saying he wished Nvidia had invested even more in xAI and that he is “delighted” to be involved.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment for Tesla was ‘extremely bearish’ amid ‘high’ message volume.

One user said Tesla is facing rising competition and suggested that Musk’would be better off focusing on areas such as robotics and power generation.

Another user said, “pretty crazy that NVDA FSD version 1 is superior to TSLA’s version 14+!”

Tesla’s stock has risen 10% over the past 12 months.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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