Elon Musk’s Robot Dream Sparks Tesla Stock Surge

Tesla’s stock experienced an increase on Monday, following Elon Musk’s emphasis on the potential value of the company’s humanoid robots. Musk announced on X that Tesla anticipates having genuinely useful humanoid robots in limited production for internal use next year, with hopes for larger-scale production for other companies by 2026.

During Tesla’s annual meeting in April, Musk indicated that the Optimus robot program would transition into limited production by 2025, predicting that by the end of that year, over 1,000 robots would be operational at Tesla. Currently, two robots are deployed on the factory floor, although Tesla has not disclosed their specific functions.

Musk also speculated that the introduction of these robots could potentially add up to $20 trillion to Tesla’s market capitalization. The robots are expected to hit the market by late 2025, with a price range projected between $20,000 and $30,000.

However, the term “genuinely useful” remains ambiguous, as previous demonstrations of the robots have drawn skepticism. In May, Tesla faced criticism for showcasing a video of an Optimus robot folding a shirt, which was alleged to involve an off-screen operator controlling the robot.

This is not the first instance of Tesla’s theatrical approach to presenting its robots; the company revealed the Optimus project in 2021, featuring a dancer dressed in a robot suit.

MKM analyst Craig Irwin expressed doubts about the timeline for a sentient humanoid robot, noting the company’s past marketing tactics. He stated it may be challenging for Tesla to compete with Boston Dynamics, pointing out that their demonstrations lag behind modern standards.

Alongside Boston Dynamics, Tesla faces competition from Honda and Apptronik in the humanoid robot space. Chinese companies like Dongfeng Motor and Nio are testing robots designed by UBTech Robotics in their production lines, while BMW has been integrating Silicon Valley-based Figure’s humanoid robots in its operations since January.

Following Musk’s comments, Tesla’s shares increased by more than 3% on Monday. Year-to-date, the stock has remained relatively stable after a significant rebound over the past two months. Tesla is scheduled to report its second-quarter earnings on Tuesday, where Musk is anticipated to provide updates regarding the delayed robotaxi project.

Popular Categories


Search the website