Tesla (NASDAQ: TSLA) shares tumbled 5% on Monday, sharply underperforming the broader market, which posted a 0.6% gain. The electric vehicle giant’s decline coincided with a 27.5% surge in Luminar Technologies (NASDAQ: LAZR), a company specializing in LiDAR (Light Detection and Ranging) technology.
The market movement follows a viral YouTube video by former NASA engineer Mark Rober, who has amassed 65 million subscribers. The video, posted over the weekend, directly compared Tesla’s Autopilot system with LiDAR-equipped vehicles, raising questions about Tesla’s self-driving technology.
LiDAR Outperforms Tesla in Key Safety Tests
Rober’s tests placed Tesla’s Autopilot system against LiDAR technology in various real-world scenarios:
- Fog Simulation: Tesla failed to detect a child-sized dummy, resulting in a collision. The LiDAR-equipped vehicle stopped in time.
- Heavy Rain Conditions: Tesla struggled in simulated torrential downpours, once again hitting the dummy, while the LiDAR vehicle braked successfully.
- Bright Light Exposure: Both Tesla and LiDAR vehicles performed well, identifying and stopping for obstacles.
- Painted Brick Wall: LiDAR successfully recognized the obstacle and stopped, while Tesla’s vehicle drove straight through the simulated barrier.
The results arrive at a crucial time for Tesla’s upcoming Robotaxi launch, scheduled for June 2025. Critics argue that without advanced perception technologies like LiDAR, Tesla’s Full Self-Driving (FSD) software may lag behind competitors.
Tesla Faces Investor Concerns Amid Stock Slump
Tesla’s stock has already fallen 38% year-to-date, reflecting investor concerns over slowing sales growth, increased competition, and regulatory scrutiny. The latest safety concerns could further impact consumer confidence in Tesla’s autonomous driving ambitions.
Meanwhile, Luminar Technologies capitalized on the moment, rallying as investors bet on LiDAR’s potential to become the industry standard for autonomous vehicles.
Looking Ahead
- Tesla CEO Elon Musk has dismissed LiDAR as unnecessary for self-driving cars, but pressure may mount for Tesla to reassess its reliance on camera-based systems.
- Investors will closely monitor Tesla’s next earnings report to gauge whether safety concerns impact sales and future autonomous vehicle plans.
- Regulatory bodies could take a closer look at Tesla’s self-driving capabilities, especially ahead of Robotaxi’s 2025 debut.
With the EV sector evolving rapidly, Tesla faces a pivotal moment in proving its self-driving technology remains competitive—or risk falling behind in the race for autonomous mobility.
