Tesla's sales have fallen behind BYD for the first time, and Musk is taking drastic measures to make a comeback against the odds, causing a stir in Wall Street.
In the 2025 global pure electric vehicle sales rankings, BYD topped with 2.26 million units, up 28% year-on-year; while Tesla sold only 1.64 million units throughout the year, down 9% year-on-year, with a 16% decline in the fourth quarter. This marks the second consecutive year of sales decline for Tesla, and it is also the first time since 2020 that it has been comprehensively surpassed by its competitors in the pure electric vehicle sector.
BYD has achieved localized production and rapid delivery in multiple overseas markets by leveraging vertical integration and scale advantages, while Tesla has encountered labor and environmental resistance at its Berlin and Texas factories, significantly slowing its expansion pace.
Facing the sales dilemma, Musk did not choose to bet everything on the automotive business, but instead turned his attention to another empire he personally built - SpaceX. Just at the end of December 2025, he confirmed that SpaceX will launch an IPO in 2026, with a valuation of $1.5 trillion. What does this number mean? It exceeds Apple's market value and far surpasses the $294 billion IPO record set by Saudi Aramco in 2019, becoming the largest initial public offering in human history.
Tesla's stock price has long been tied to Musk's personal credit and vision. When the growth story of the car business no longer works, the capital market urgently needs a new narrative. SpaceX holds over 4 million users globally through Starlink, a sole crew contract with NASA, and upcoming commercial launches and lunar missions with Starship. Its cash flow and growth potential have been re-evaluated by Wall Street.
If successful in the listing, it could provide Musk with significant personal liquidity, and may also support Tesla - whether through cross-shareholding, technological collaboration, or boosting investors' overall confidence in its "tech empire."
After the news broke, Wall Street was shaken. ETFs related to the space economy saw record inflows in a single week, several investment banks upgraded the ratings of SpaceX supply chain companies, and even some analysts began using the "Musk asset portfolio" model instead of single company valuation models. This indicates that the market is accepting a new logic: when Tesla can't outperform BYD on the ground, Musk is preparing to redefine the track in the sky.
Original article: toutiao.com/article/1853266515090440/
Statement: The article represents the views of the author.