Tesla’s stock saw an increase on Monday as Elon Musk continued to discuss the company’s upcoming humanoid robots. Musk announced on social media that Tesla would likely have functional humanoid robots in limited production for internal use next year, with hopes for increased production for external companies by 2026.
At a shareholders’ meeting in April, Musk indicated that Tesla’s humanoid robot, named Optimus, could enter limited production in 2025, with an expectation of over 1,000 units operational by year-end. Currently, two robots are on Tesla’s factory floor, although the specific roles they fulfill have not been disclosed.
Musk has previously speculated that these robots could significantly boost Tesla’s market capitalization by as much as $20 trillion. However, the robots are not anticipated to hit the market until late 2025, with projected prices ranging from $20,000 to $30,000.
There has been skepticism regarding Musk’s description of the robots as “genuinely useful,” especially since earlier demonstrations have been criticized for lacking substance. For instance, in May, footage of an Optimus robot folding a shirt was contested by claims that it had been manipulated by an off-screen operator.
Critics also remind the public of Tesla’s previous promotional tactics, such as the controversial launch of the Optimus project in 2021, which involved a performer in a robotic suit. Roth MKM analyst Craig Irwin expressed doubt about Tesla’s ability to develop a truly autonomous humanoid robot by 2025, highlighting the significant advancements made by competitors like Boston Dynamics.
In addition to Boston Dynamics, Tesla is up against companies such as Honda from Japan and Apptronik. Chinese manufacturers Dongfeng Motor and Nio are experimenting with humanoid robots from UBTech Robotics in their production lines, while BMW has been utilizing humanoid robots from Silicon Valley’s Figure since early this year.
Following Musk’s statements, Tesla’s stock climbed more than 3% on Monday. Overall, the shares have remained relatively stable this year after experiencing a significant rebound over the past two months. Tesla is set to release its second-quarter earnings on Tuesday, which is expected to include updates on the much-anticipated robotaxi rollout.