Content
This demonstrates the effective pricing and cost management done by the Tesla team as we continue to drive demand. Controlling for the impact of those benefits from the prior quarter, our automotive gross margins, excluding credits would have been approximately flat. Overall, FSD attach rates continue to improve, reaching nearly 1.5 million paid customers globally, of which 55% is upfront purchases and the remaining 45% is subscriptions. We are, therefore, focused on increasing production at all our factories to meet this growing demand. So, Q2 continued the trend that we saw at the end of Q1, a resurgence in demand for our vehicles across the globe. So we feel confident we can adapt the same Tesla AI technology that we developed for self-driving cars to have a self-driving computer screen, self-driving computer essentially.
So, Andrew, as soon as you can, please unmet yourself and ask your question. So, please unmute yourself and go ahead and ask your question. The first question comes from Tom from RBC. The second flywheel is when we have a large number of Optimus robots practicing their tasks in what we call the Optimus Academy. This is all on top of any training we can do off of the entire Internet of data that shows demonstrations of people doing various tasks, both in industrial settings and home settings. One of the main reasons for this approach is that having the human form factor and function allows us to learn from humans on how to perform a wide variety of tasks. And there was one remaining question on data collection for Optimus training. Our technology bets are paying off, helping us sustain the exponential growth for the foreseeable future, and the Cybercab is going to be awesome.
Unlike under other PPP models such as BOT-Toll and BOT-Annuity, a pre-specified proportion of construction payments based on achievement of physical progress is made to the concessionaire in 10 equal installments, which are indexed to inflation. During this period—other than undertaking the (design and) construction work—the concessionaire is required to partly finance the works as stipulated in the agreement. The authority is also required to appoint an independent engineer to administer the concession agreement. Under this agreement, the authority awards the concessionaire the concession, including its exclusive right, license, and authority to construct, operate, and maintain the “project” during the concession period. The Hybrid Annuity Model (HAM) requires that part of the private sector financing by the concessionaire during the construction phase be paid by the authority during the operation and maintenance (O&M) phase. A high school diploma is typically required, followed by rigorous training to qualify for the role.
Forex—The foreign exchange market (forex) is a global, decentralized, over-the-counter market for the trading of currencies and is the largest market in the world (followed by the credit market). Can you talk a little bit about the R&D spend and how you're thinking about the synergies of the different components, particularly on the hardware side? You talked a lot about the CapEx spend, but this is an incredibly ambitious technology development program that you're talking about. Then there's the real-world AI and scaling production. I always think people sort of outside of China kind of underestimate China. Actually quite good at AI as you can see from the open-source, not the open-source, but the sort of I guess, some of them are open, actually. China is incredibly good at scaling manufacturing. Wondering what the long-term competitive advantages that keep Tesla, Inc. ahead are and how based on what you've seen will Optimus fundamentally differ from these competitors?
Thank you for taking my question. Our next question is going to come from George at Canaccord. Optimus won't even be able to just sit there without an AI chip. It's not like at least the cars we can put steering wheels and pedals in. This is really existential for Tesla, Inc. because Optimus is completely useless without an AI chip. So that puts us in a pretty good position for scaling.
We would casino spanian like to remind folks who use the say platform to please focus these questions on Tesla, Inc. The first question is, today there are approximately 90 million cars sold globally each year. As always, we will start with questions from say.com. Now we're going to head over to investor questions. It is important to note that beginning this quarter, we are transitioning fully to a subscription-based model for FSD. FSD adoption continued to improve in the quarter, reaching nearly 1,100,000 paid customers globally. These are just cars with no people in them and no one following the car in Austin.
So, for the car, it's sort of pixels in or photons in and controls out. So this is really going to be super helpful as we try some exciting adventurous high-risk, high payoff bets on AI chips. So you can have a very fast iterative cycle and try out new chip designs very quickly and see if they work. And that development fab, I think, is pretty cool because it's intended to have lithography mask production and then logic, memory and packaging and chip testing all under one roof. But I do think Terafab is going to be an amazing initiative and a necessary one and one without which we will be constrained in our ability to scale Optimus production because we simply won't have enough AI chips. So there is no humanoid robot that is actually able to do generalized tasks. And at least with electric cars, the nonelectric powertrain portions of the cars had an existing supply chain. And the difficulty of scaling the production ramp is proportionate to the newness of the parts in the robot.
The private investor was required to invest the remaining 60%, which typically comprises equity and debt.. The approach initially endorsed required that the government invest 40% of the BPC during the project construction period (as construction assistance), in five equal installments, linked to the achievement of predefined construction milestones. Map your cash outflow curve—when you’ll spend on earthworks, materials, labour—against the cash inflow schedule from NHAI. Miss your deadline or slip below O&M standards, and NHAI withholds part of your payment—or worse, invokes performance-bank guarantees. Your consortium or contractor covers the remaining 60 % as equity and debt. The authority has released the MHT CET 2026 round 1 cutoff on August 2, 2026. The cutoff for MHT CET 2026 represents the minimum rank or percentile required by candidates to secure admission to a particular college and course.