Tesla profit disappoints, EV maker posts cash burn as AI spending surges

Tesla reported Q2 profit miss and negative free cash flow for the first time in over two years as capex surged to $5.8bn, driven by AI, autonomy and robotics infrastructure spending that now consumes $25bn annually—triple last year's rate. Core automotive margins compressed to 16.3% as pricing pressure and regulatory credit decline offset record vehicle deliveries.

This Wire brief sits within Fusion42's coverage of Autonomous Vehicles and AI Infrastructure. Wire is Fusion42's founder-focused intelligence feed: each story is connected to the funds and startups it names — every one with a live profile on Raise or Scout — so founders can follow the capital and the momentum behind the headline rather than just the headline itself. Wire analysis is one of the live surfaces Arthur reasons over.