Tech Bull Dan Ives predicts that the launch of Tesla’s Robotaxi will catapult the company to a market capitalization of $2 trillion.

As Tesla prepares to begin the early stages of offering Robotakshi in Austin this weekend, the automaker will do well with its long-standing ambitions to enter the riding business.

Ives, who is often bullish in the tech sector, welcomed the launch of Robotaki. “We consider this autonomous chapter as one of the most important chapters for Musk and Tesla in history,” he wrote in an analyst note released Friday.

The idea that Tesla’s autonomous driving technology could have a Robotaxis fleet is central to the company’s investment papers. Its CEO Elon Musk has long outlined his vision of millions of self-driving Teslas going back and forth about paying customers as the company’s next stage of future. Musk says the company’s purpose is to allow Tesla owners to make a part of the Robotaxi fleet when they are not using the car.

“That’s why I like it a little Airbnba place where you can add or subtract homes or rooms,” Musk said in January.

The best case scenario for the Robotaxi rollout could essentially double Tesla’s market capitalization by the end of 2026, Ives said. He predicted Tesla’s market capitalization would reach $2 trillion until next year. Tesla stocks have so far been a poor year in 2025, falling 15.9% per year. The company also reported Disappointing sales results Early this year. Tesla shareholders have found themselves having to compete with forces outside of control, including the sour relationship between the US and China, the two biggest markets, Musk’s involvement in politics and the sour relationship between the Trump administration and others.

Tesla did not respond to requests for comment.

After testing in Austin, this will begin at a Geofykens location with around 25 cars, making it easier to expand in the future due to the preferred regulatory environment.

“We fully hope that these key initiatives will be tracked quickly under Trump’s White House as we have encountered a large federally regulated spider confinement that has earned a large amount of autonomous clearance over the past few years,” Ives said.

But Tesla’s most bullish investor excitement has put off some others. Earlier this month, investment companies Baird downgrades Tesla stocks This is because, from “purchase” to “neutral,” the Robotaxi programme was growing faster and faster, saying “a little too optimistic.” Baird The public tiff between Musk and Trump was also highlighted as a way to raise the uncertainty surrounding Tesla’s future. Argus Research cited The Falling Out as the main Why your own downgradeI came again this month. Argus analysts feared that Tesla stocks were trading at “non-basic events.” In other words, investors were buying and selling shares for reasons that were not related to finance.

“We are concerned that the word-war between President Trump and Elon Musk could further weaken demand for the new Teslas as EV credits expire,” writes Argus analyst Bill Celsky.

However, Ives looked past the spat. “The BFF/Frenemy situation with Musk and Trump has created a soap opera on this front, but in the end Trump wants the US to go ahead with China in this AI army and autonomy is a key factor in AI in those who Tesla plays a major role in Robotaxis,” he said. “We hope that over the coming months we will relax the federal framework for autonomy and that more powers will go to federal regulators, and that states will have less powers in autonomy regulations.”

Tesla’s Robotaxi is not the first autonomous vehicle approved for use in US Alphabet ownership Waymo Currently available in San Francisco, Phoenix, Los Angeles and Austin. This week, Waymo announced it had applied for permission to test self-driving cars in New York. High-tech giant Amazon There are also autonomous vehicles Leadership Called ZAMX It is scheduled to be released in Las Vegas later this year.