Tesla’s stock is experiencing an increase on Monday as Elon Musk highlights the potential of the company’s humanoid robots. On social media, Musk stated that Tesla plans to have useful humanoid robots in low production for internal use next year, with hopes of higher production for external companies by 2026.
In April, during Tesla’s annual shareholders meeting, Musk indicated that the Optimus robots would enter limited production in 2025, predicting that over 1,000 units could be operational at Tesla facilities by the end of that year. Currently, two robots are already on the factory floor, although their specific functions have not been disclosed.
Musk has suggested that these robots could potentially add $20 trillion to Tesla’s market valuation. Sales of the robots are not expected until late 2025, with anticipated price tags between $20,000 and $30,000.
However, the exact capabilities Musk refers to when he calls the robots “genuinely useful” remain uncertain. Previous demonstrations have raised skepticism, such as a recent incident where Tesla was criticized for sharing a video of an Optimus robot folding a shirt, which was allegedly being controlled by a person off-camera.
Skepticism about Tesla’s robot project is not new. The company first introduced the Optimus robot concept in 2021, showcasing a dancer in a robot costume as part of the reveal.
Analyst Craig Irwin from MKM pointed out the challenges Tesla faces in competing with robotics companies like Boston Dynamics, emphasizing that Tesla’s showcased technology appears outdated compared to industry standards from 2014.
Tesla will also face competition from Hyundai’s Boston Dynamics, Honda, Apptronik, and Chinese manufacturers like Dongfeng Motor and Nio, which are testing humanoid robots developed by UBTech Robotics. Additionally, BMW has incorporated humanoid robots from Figure, a Silicon Valley robotics firm, into its operations since January.
On the back of Musk’s comments, Tesla’s stock surged more than 3% on Monday. The shares have remained relatively stable year-to-date after a significant rebound over the past couple of months. Tesla is set to announce its second-quarter earnings on Tuesday, where Musk is expected to provide updates on the long-awaited robotaxi unveiling.