Tesla had announced in January that it expected capital expenditures to be in excess of $20 billion in 2026, already a substantial increase meant to cover its AI initiatives, including investments in compute infrastructure and data centers, and the expansion and ramp of its manufacturing and R&D production lines, among other items.

This $5 billion uptick suggests these initiatives will require more money than previously planned. But so far, its quarterly capital expenditure, which was $2.5 billion, was in line with previous quarters, the report shows.

Of course, Musk views this as a positive, a sentiment many other shareholders will likely also share since it positions Tesla as a company investing in its future, namely AI and robotics.

“With 2026 we’re going to be substantially increasing our investments in the future,” Musk said in the earnings call Wednesday. “So you should expect to see significant, a very significant increase in capital expenditures, but I think well justified for a substantially increased future revenue stream.”