Tesla’s stock experienced an uptick on Monday, driven by Elon Musk’s ongoing promotion of the company’s humanoid robot initiatives.
Musk announced via X that Tesla aims to produce truly functional humanoid robots for internal use by next year, with aspirations for broader production to support external companies by 2026.
At Tesla’s annual shareholder meeting in April, Musk indicated that its humanoid robot, called Optimus, would begin limited production in 2025, forecasting that over 1,000 robots could be operational at Tesla by the year’s end. Currently, two robots are present on the factory floor, but the company has not disclosed their specific functions.
Musk previously suggested that the introduction of these robots could potentially boost Tesla’s market capitalization by $20 trillion. While the robots are not expected to be available for purchase until late 2025, their projected selling price ranges from $20,000 to $30,000.
The term “genuinely useful” remains vague, given that previous demonstrations of the robots have been criticized. Recently, Tesla faced backlash for releasing a video where an Optimus robot appeared to fold a shirt, which was reportedly controlled by a person off-camera.
Tesla has a history of using captivating displays to showcase its robots. The Optimus project was first highlighted in 2021 with a promotional video featuring a person dressed in a robot costume.
Analyst Craig Irwin from Roth MKM remarked on Yahoo Finance that creating a “sentient humanoid robot by 2025” seems ambitious, especially when considering previous promotional tactics. He noted the challenge Tesla faces in catching up to established robotics companies such as Boston Dynamics, asserting that their demonstrations don’t match contemporary advancements.
In addition to Boston Dynamics, Tesla is competing against Honda and Apptronik from Japan, while Chinese companies like Dongfeng Motor and Nio are testing humanoid robots from UBTech Robotics in their production lines. BMW has also incorporated humanoid robots from Silicon Valley-based Figure into its operations since the start of the year.
On Monday, Tesla’s stock rose more than 3% following Musk’s remarks. Shares have stabilized year-to-date after a significant rebound in the past two months. Tesla is set to announce its second-quarter earnings on Tuesday, during which Musk is anticipated to provide an update on the postponed launch of the robotaxi.