Tesla’s stock saw an increase on Monday as Elon Musk discussed the potential value of the company’s humanoid robots. Musk announced on X that Tesla aims to have “genuinely useful humanoid robots” in limited production for internal use next year, with hopes for higher production levels for other companies by 2026.
At Tesla’s annual meeting in April, Musk indicated that limited production of the Optimus robot would begin in 2025, forecasting that over 1,000 robots could be operational at Tesla by the end of that year. Currently, two robots are already on the factory floor, although Tesla has not disclosed their specific functions.
Musk previously suggested that the introduction of these robots could potentially add $20 trillion to Tesla’s market value. However, the robots are not expected to go on sale until late 2025, with prices anticipated to range between $20,000 and $30,000.
There is uncertainty surrounding Musk’s claim that the robots will be “genuinely useful,” especially considering past product demonstrations, which have faced criticism. For instance, a video released in May purportedly showed an Optimus robot folding a shirt, but it was later revealed that a person off-screen was controlling the movements.
Critics have pointed out that Tesla has previously used flashy presentations to promote its robots, including the 2021 debut of the Optimus project that featured a dancer dressed in a robot suit. Craig Irwin, an analyst at Roth MKM, expressed skepticism about Tesla’s ability to compete with companies like Boston Dynamics, noting that the technology displayed so far seems outdated.
In addition to Boston Dynamics, Tesla faces competition from Honda, Apptronik, and Chinese automakers Dongfeng Motor and Nio, both of which are testing humanoid robots from UBTech Robotics. BMW has also been utilizing humanoid robots from Silicon Valley’s Figure in its operations since January.
Following Musk’s remarks, Tesla’s stock rose over 3% on Monday. The shares have remained relatively stable year-to-date after a significant rebound in the past two months. Tesla is set to report its second-quarter earnings on Tuesday, where Musk is expected to provide an update on the company’s delayed robotaxi initiative.