Tesla’s shares experienced a rise on Monday as CEO Elon Musk highlighted the potential value of the company’s humanoid robots. Musk stated on social media that Tesla plans to have functioning humanoid robots in low production for internal use by next year, with hopes of increasing production for other companies by 2026.
During Tesla’s annual shareholder meeting in April, Musk mentioned that its Optimus robot would begin limited production in 2025, with a target of having over 1,000 robots operational by year-end. Currently, two robots are already present on the factory floor, though Tesla has not disclosed their specific tasks.
Musk previously suggested that the introduction of these robots could potentially add $20 trillion to Tesla’s market capitalization. The robots are expected to go on sale by the end of 2025, with anticipated prices ranging from $20,000 to $30,000.
However, the definition of “genuinely useful” robots remains vague, particularly given past product demonstrations, which have faced criticism. For instance, in May, Tesla was accused of misleadingly presenting a video of an Optimus robot folding a shirt, which was allegedly operated by a person out of view.
Tesla has previously drawn skepticism for its approaches to showcasing its robots, such as introducing the Optimus project in 2021 with a dancer in a costume. Analysts have voiced doubts about Tesla’s competitive edge in the robotics field, especially against established players like Boston Dynamics.
In addition to competing with Boston Dynamics, Tesla faces challenges from Honda, Apptronik, and several Chinese automakers, including Dongfeng Motor and Nio, who are testing humanoid robots on their production lines. BMW has partnered with Figure’s humanoid robots since January.
Following Musk’s comments, Tesla stock rose over 3% on Monday. Year-to-date, shares have remained relatively stable after a significant rebound in recent months. Tesla is set to report its second-quarter earnings on Tuesday, where Musk is expected to provide updates on the postponed robotaxi launch.