Tesla is in crisis: this is Elon Musk's ace in the hole to recover thanks to AI

What happens when the biggest proponent of electric cars decides to focus his attention on artificial intelligence and politics? Well, what was once his most serious venture collapses. The first quarter of 2025 has left Tesla on the ropes: plummeting revenue, evaporating profits, and a stock market drop of nearly 41%. Meanwhile, Elon Musk seems more concerned with reshaping the US federal government alongside Donald Trump than with making cars. So much so, that there's already talk of his departure from Tesla.

Yet, amid the financial and political chaos, a new ray of light is beginning to shine. It's not from the dashboard of a Model Y, but from the heart of the electrical grid in Tennessee, where an army of Tesla Megapack batteries powers the world's most powerful supercomputer: Colossus . An xAI project that, far from being anecdotal, could be the key to Tesla's resurrection in an era dominated by AI.

The first quarter of 2025 was very negative for Tesla. Auto revenue fell 20% year-over-year to $14 billion. Earnings per share fell far short of Wall Street expectations. If not for the $595 million in environmental credits, the company would have gone straight into the red.

Behind these figures lies a perfect storm. First, Tesla's factories have been partially shut down to accommodate the new Model Y, which has reduced production. Furthermore, the company has been forced to lower prices and incentivize sales to clear its inventory. Finally, the tariff policies promoted by Trump are increasing manufacturing costs , as many components—such as batteries, circuit boards, and automotive glass—rely on imports.

But it's not just industrial factors. Musk's increasingly polarized public image doesn't help either. In March, he was photographed wearing a "Trump was right about everything" cap in the White House, supporting policies that generate rejection in much of the European and US market. Added to this are his sympathies with the German far right, which have sparked protests and boycotts of Tesla in several European cities.

However, while the electric car engine was seizing up, the battery and energy sector was firing on all cylinders. Tesla's energy division grew 67% year-over-year , reaching $2.73 billion. This traditionally secondary business line is beginning to take on unexpected prominence in the new AI economy.

The reason lies in the enormous energy demand generated by artificial intelligence. Data centers, model training, constant processing... AI infrastructure requires stability, capacity, and resilience. And that's where Tesla's technological gem comes into play: its Megapacks, energy storage systems capable of buffering consumption peaks , stabilizing the grid, and storing electricity for critical moments.

A concrete and revealing case is xAI's Colossus project in Memphis. There, the world's largest supercomputer—dedicated to training models like Grok and serving X (formerly Twitter)—is powered by 150 MW of Tesla batteries. This alliance between Musk's companies not only ensures the continued operation of Colossus, but also opens the door to collateral revenue, such as the sale of electricity during times of high demand or participation in energy response programs like MLGW.

The strategic move to connect its storage business with the expansion of AI could change Tesla's destiny. We're no longer talking about a simple electric car company, but a potential digital utility. In a context where the energy demands of large AI models are growing exponentially , having the infrastructure to power them becomes a critical advantage.

Tesla, with its expertise in batteries and renewable energy systems, is well positioned to ride this wave. Furthermore, the ability to sell energy back to the grid at key moments can generate stable and predictable revenue, something especially valuable in a company currently experiencing volatility in its core business.

It's not just about powering data centers . Musk has hinted that its batteries could become distributed storage nodes that actively participate in local energy markets. If this comes to fruition, Tesla wouldn't rely exclusively on selling cars, but could diversify its revenue thanks to the AI ​​behind the scenes.

Musk's political involvement is a constant source of friction. While some of Trump's decisions—such as potential AI subsidies or favorable tariff policies on certain American products—could indirectly benefit Tesla, the reputational and commercial cost of allying itself so clearly with a divisive figure could be enormous .

Markets like Europe, increasingly attentive to corporate values, frown upon flirting with the far right. The protests against Tesla in Germany and France are not isolated incidents. Furthermore, its reduced presence in the Chinese market—key to electric vehicles—is further threatened by this ideological drift.