Tesla increased its 2026 capital expenditure guidance to $25 billion — roughly 3x its $8.5 billion 2025 spend — up from a January target of "over $20 billion," according to its Q1 2026 earnings call. Investments span six simultaneous new production lines including Cybercab, a dedicated Optimus humanoid robot facility in Austin (with large-scale production targeted for late July), and a semiconductor "Terafab" for chip design. The company expects to more than double AI compute capacity within six months and will run negative free cash flow through year-end while holding $44.7 billion in cash reserves.