Tesla’s stock price experienced a notable rise on Monday as CEO Elon Musk continued to discuss the promising future of the company’s humanoid robots. Musk shared on social media that Tesla plans to produce genuinely useful humanoid robots for internal operations next year, with an anticipated increase in production for external sales by 2026.
Earlier this year, during Tesla’s annual shareholder meeting in April, Musk stated that the company’s Optimus robots would enter limited production in 2025. He projected that by the end of that year, over 1,000 robots could be operational at Tesla. Currently, two prototypes are already deployed on the factory floor, although details regarding their specific functions remain undisclosed.
Musk also floated the idea that these robots could significantly enhance Tesla’s market capitalization, potentially adding up to $20 trillion. While the robots are not expected to reach the market until late 2025, their projected price range is between $20,000 and $30,000.
However, it remains uncertain what Musk means by “genuinely useful” robots, as previous demonstrations have not met expectations. For instance, in May, Tesla faced criticism for showcasing a video in which an Optimus robot appeared to fold clothing, a task that was later revealed to be controlled by an operator off-screen.
This is not the first instance where Tesla’s promotional tactics have raised eyebrows. The company’s initial reveal of the Optimus project back in 2021 featured a person in a costume performing dance moves.
Analysts have expressed skepticism regarding the timeline for a fully operational humanoid robot. Craig Irwin of MKM pointed out the challenges Tesla faces in keeping pace with established competitors like Boston Dynamics, highlighting that the capabilities presented so far are reminiscent of technology from nearly a decade ago.
In addition to Boston Dynamics, Tesla competes with Honda and Apptronik in the humanoid robot sector. Meanwhile, Chinese manufacturers like Dongfeng Motor and Nio are exploring humanoid robotics with assistance from UBTech Robotics, and BMW has started using humanoid robots developed by Figure in its operations since January.
On the heels of Musk’s announcements, Tesla’s stock climbed over 3% on Monday. Despite this boost, shares are relatively stable year-to-date following a significant rebound over the past two months. Tesla is set to report its second-quarter earnings on Tuesday, where Musk is expected to provide further insights regarding the company’s anticipated robotaxi launch.