Technology Innovation - Tesla's AI5 chip performance increased by 50 times compared to the previous generation [1] - AI5's energy efficiency is 3 times higher than NVIDIA's top chips, while the manufacturing cost is less than 10% of the competitor's [1] Strategic Direction - Tesla aims to connect millions of its vehicles to create a global mobile cloud supercomputer, challenging Amazon AWS and Google Cloud in the computing power service market [1] - Tesla is redefining the rules of AI infrastructure [1]

Automotive Market Trends - Canada's iZEV subsidy program, which provided up to 5,000 Canadian dollars in subsidies for electric vehicle purchases, ended on January 12, 2025, due to funding depletion, leading to a significant drop in zero-emission vehicle (ZEV) sales from 18.9% in Q4 2024 to 9.7% in Q1 2025 [1] - The Canadian government is preparing a new consumer subsidy program for electric vehicles, aiming to save consumers money and create local job opportunities, while collaborating with provinces and industry leaders [1] - Tesla faced challenges in Canada as the government froze subsidies and launched an investigation after Tesla submitted a large number of subsidy applications (approximately 8,600 vehicles, involving over 43 million Canadian dollars) in the final weekend before the iZEV program ended [1] - Canada aims for 20% of new light-duty passenger vehicle sales to be zero-emission vehicles starting in 2026, increasing annually to 100% by 2035 [1] - In May 2025, Japan's vehicle exports to the United States plummeted by 24.7%, marking the worst decline in recent years, primarily due to the U S's 25% tariffs on imported automobiles and steel [1] - Japan's overall exports to the U S also decreased by 11.1%, with total exports falling by 1.7% [1] - Toyota estimates losses of 180 billion Japanese Yen due to tariffs in April and May, while Honda anticipates full-year losses of 650 billion Japanese Yen [1] AI Chip Development - Tesla's next-generation FSD chip, AI5, is rumored to have entered the mass production stage, with potential application in Optimus robots and Tesla vehicles around December 2025 [1][2] - AI5's performance target is 2000 to 2500 TOPS (trillions of operations per second), which is 4 to 5 times the performance of the current HW4 chip (500 TOPS) [1] - AI5 is expected to be manufactured by TSMC and Samsung using the 3nm N3P process, with Samsung potentially joining production in 2026 [2] - AI5 will be paired with upgraded FSD cameras featuring Samsung's waterproof lenses with heating capabilities for improved performance in harsh weather conditions [2] - AI5 is expected to be first used in Cybercab, Tesla's fully autonomous taxi, with mass production potentially starting by the end of this year or early next year [2]