Tesla’s stock saw an increase on Monday as CEO Elon Musk continued to highlight the potential value of the company’s humanoid robots. Musk stated on X that Tesla plans to have functional humanoid robots in limited production for internal use by next year, with hopes for broader production for other companies by 2026.
During Tesla’s annual meeting in April, Musk had mentioned that the robot, named Optimus, would enter limited production in 2025, predicting that over 1,000 units would be operational by the end of that year. Currently, there are two robots on the factory floor, although Tesla has not disclosed their specific tasks.
Musk projected that this technology could potentially add $20 trillion to the company’s market capitalization, although the robots are not expected to be available for sale until late 2025, with prices anticipated to range between $20,000 and $30,000.
Concerns have been raised about the actual utility of the robots. Previous demonstrations have faced criticism, including an incident where Tesla was accused of showcasing an Optimus robot folding a shirt, which was allegedly controlled by an off-screen operator. This has led to skepticism about the authenticity of Tesla’s robot presentations, notably the introduction of the Optimus project in 2021 that featured a dancer in a robot suit.
Industry analysts are questioning Tesla’s ability to compete with established robotics firms. MKM analyst Craig Irwin remarked that Tesla’s ambitions for a sentient humanoid robot by 2025 face significant challenges, particularly when compared to competitors like Boston Dynamics, Honda, Dongfeng Motor, Nio, and BMW.
Following Musk’s comments, Tesla’s stock increased by more than 3% on Monday, with shares remaining relatively stable year-to-date after a significant recovery in the previous two months. Investors are also looking forward to the company’s second-quarter earnings report, scheduled for Tuesday, where Musk is expected to provide updates on the much-anticipated robotaxi project.