Tesla’s stock experienced a boost on Monday as CEO Elon Musk emphasized the potential of the company’s humanoid robots. During a post on X, Musk stated that Tesla plans to have “genuinely useful humanoid robots” in limited production for internal use by next year and aims for higher production for external clients by 2026.
Earlier this year, at Tesla’s annual meeting, Musk mentioned that the Optimus robot would enter limited production in 2025, predicting that over 1,000 of the robots would be operational at Tesla by the end of that year. Currently, two robots are functioning on the factory floor, although Tesla has not disclosed their specific roles.
Musk posited that the introduction of these robots could potentially add $20 trillion to Tesla’s market capitalization, with sales anticipated to begin by the end of 2025, at prices ranging from $20,000 to $30,000.
However, the definition of “genuinely useful” remains vague, as previous demonstrations have raised skepticism. Notably, in May, Tesla faced criticism for a video that appeared to show an Optimus robot folding a shirt, which was later revealed to be controlled by an off-screen individual.
Skepticism about Tesla’s robot capabilities extends to industry comparisons, as analyst Craig Irwin highlighted challenges Tesla might face in competing with well-established players like Boston Dynamics. Irwin pointed out that Tesla’s demonstrations appear outdated compared to current robotic advancements.
In addition to Boston Dynamics, Tesla will compete with Japanese automaker Honda and firms like Apptronik. Meanwhile, Chinese manufacturers Dongfeng Motor and Nio are testing humanoid robots from UBTech Robotics, and BMW has been utilizing humanoid robots from Silicon Valley-based Figure in its operations since January.
Following Musk’s comments, Tesla’s stock increased by more than 3% on Monday, with shares remaining relatively unchanged year-to-date after a significant recovery over the last couple of months. Tesla is set to announce its second-quarter earnings on Tuesday, where Musk is likely to update investors on the delayed robotaxi project.