Would Tesla Enter the Smartphone Market?
When asked about launching a Tesla-branded phone, Musk stated: “Tesla has the resources and standing to create a phone that wouldn’t depend on Android or iPhone. However, we’d only consider it if we truly had no other choice.” Musk emphasized that Tesla has no immediate plans to enter the smartphone market, as it doesn’t currently see a need. He elaborated, “If Apple or Google were to monopolize their app stores or restrict certain applications, we’d consider making a phone.”
Origins of the Tesla Phone Rumor
The Tesla phone rumors began circulating in 2022 when podcast host Liz Wheeler asked Musk if he’d consider developing a phone if Apple and Google were to remove Twitter from their app stores. Musk replied on X (formerly Twitter): “I hope that won’t happen, but if it does, I’ll make an alternative phone.”
Then, in May 2024, speculation intensified, with reports suggesting that a Tesla Phone could feature Starlink satellite internet connectivity and run on a unique TeslaOS. In June 2024, a social media user even claimed Tesla might partner with Samsung to produce a phone named “X.” Musk replied that such a scenario was “not impossible.”
Tesla’s Current Tech Focus
According to Musk and industry experts, the smartphone market is saturated and stable, fully meeting user needs. Tesla, under Musk’s leadership, is focusing on innovative technologies like SpaceX rockets, Neuralink brain chips, Optimus robots, Starlink satellite internet, and Tesla electric vehicles—projects Musk views as higher-priority than a smartphone.
A Teslarati tech expert remarked, “Unlike Tesla’s current investments, a smartphone isn’t a critical goal for Elon Musk.” Developing a Tesla Phone would demand substantial resources, which Tesla is already allocating to SpaceX, Neuralink, and Starlink.
