From Harvard Business Review · HBR Editors · · 1m 30s
Tesla kills Cybertruck to build robotaxis
Tesla ends Cybertruck production in mid-2027 after sales fell 48%, raising questions about how companies decide to abandon once-promising projects.
In brief
Tesla ends Cybertruck production in mid-2027 after sales fell 48%, raising questions about how companies decide to abandon once-promising projects. Tesla will end Cybertruck production around mid-2027 to make room for its autonomous robotaxi, after the truck fell far short of sales targets and faced production delays…
Tesla pulls the plug on Cybertruck
On November 6, CEO Elon Musk announced Tesla would end Cybertruck production around the middle of 2027, freeing Texas factory capacity for the Cybercab autonomous robotaxi.
Sales collapsed far below targets
Musk once predicted Tesla would sell 250,000 Cybertrucks annually. According to Kelley Blue Book, the company sold only 20,237 in 2025, down 48% from the previous year.
Years of problems plagued the truck
The futuristic pickup, which began reaching customers in 2023, suffered from production delays, higher-than-promised prices, recalls, and political backlash.
The broader challenge for leaders
The decision raises a question that confronts leaders in every industry: how do you know when to abandon an initiative that once seemed promising?
Why shutting down projects is hard
Shutting down projects can be surprisingly difficult. Executives may be reluctant to admit mistakes, teams become emotionally invested in their work, and organizations often lack clear processes for deciding when to stop.
Seven frameworks for killing bad projects
Harvard Business Review offers seven articles on recognizing troubled projects, overcoming forces that keep them alive, and redirecting resources toward more promising opportunities, covering systematic evaluation, organizational dynamics, zombie projects, and cultural shifts.
The takeaway
Tesla will end Cybertruck production around mid-2027 to make room for its autonomous robotaxi, after the truck fell far short of sales targets and faced production delays.
