Tesla shares experienced an increase on Monday as Elon Musk highlighted the company’s ambitions regarding humanoid robots.
Musk took to X on Monday to share that Tesla plans to have its humanoid robots in low production for internal use by next year, with hopes of achieving high production for external sales by 2026.
At Tesla’s annual shareholder meeting in April, Musk indicated that the Optimus robots would move into limited production by 2025, anticipating that over 1,000 units would be operational within the company by year’s end. Tesla has already deployed two robots in its factory, although the specific tasks they perform have not been disclosed.
Musk also speculated that the introduction of these robots could significantly boost Tesla’s market valuation by as much as $20 trillion. The robots are not projected to be available for purchase until late 2025, with expected prices ranging from $20,000 to $30,000.
However, the concept of “genuinely useful” robots is still vague, as previous demonstrations have received criticism for their execution. In May, Tesla faced backlash when a promotional video showcased an Optimus robot purportedly folding a shirt, which observers speculated was actually being controlled by an off-screen individual.
This is not the first instance where Tesla has been accused of exaggerating its technological advancements. The introduction of the Optimus robot project in 2021 included a demonstration where a performer danced in a robot costume, drawing skepticism from analysts.
Craig Irwin, an analyst at Roth MKM, expressed doubts about Tesla’s competitiveness in the humanoid robotics space, particularly against established players like Boston Dynamics. He remarked on the challenges Tesla faces, given the current state of their technology compared to others in the field.
In addition to competing with Hyundai’s Boston Dynamics, Tesla also faces competition from Honda, Apptronik, and several Chinese automakers utilizing humanoid robots developed by UBTech Robotics. BMW has also incorporated humanoid robots from Silicon Valley-based Figure in its operations since early this year.
Following Musk’s comments, Tesla’s stock climbed by over 3% on Monday. The company’s shares have remained stable year-to-date after demonstrating a strong recovery in recent months.
Tesla is scheduled to report its second-quarter earnings on Tuesday, at which time Musk is expected to provide an update on the long-awaited robotaxi reveal.