Tesla’s stock experienced an increase on Monday following Elon Musk’s continued emphasis on the potential value of the company’s humanoid robots. Musk announced on social media that Tesla aims to create “genuinely useful” humanoid robots, with low production slated for internal use next year and hopes for higher production for other companies by 2026.
During Tesla’s annual meeting in April, Musk stated that the Optimus robots would enter limited production in 2025, predicting more than 1,000 units operational at Tesla by the end of that year. Currently, two robots are in use at Tesla’s factory, but the specific tasks they perform have not been disclosed.
Musk suggested that the introduction of the robots could add a staggering $20 trillion to Tesla’s market capitalization. The robots are projected to be available for purchase by the end of 2025, with prices anticipated to range from $20,000 to $30,000.
However, the term “genuinely useful” remains somewhat ambiguous, as previous demonstrations of the robots have faced criticism. For instance, Tesla was accused in May of showcasing a video of an Optimus robot folding a shirt, which appeared to be controlled by a person off-screen.
Tesla has a history of using elaborate presentations to promote their robots, famously introducing the Optimus project in 2021, highlighted by a dancer in a robot costume.
Analyst Craig Irwin from Roth MKM expressed skepticism about Tesla’s timeline, questioning the company’s ability to keep pace with competitors like Boston Dynamics. He noted that the technology Tesla has revealed seems dated compared to advancements available in 2014.
In addition to Hyundai’s Boston Dynamics, Tesla will face competition from Honda and Apptronik in Japan. Chinese companies Dongfeng Motor and Nio are testing humanoid robots developed by UBTech Robotics in their production lines, while BMW has been utilizing humanoid robots from Silicon Valley’s Figure in its facilities since January.
Following Musk’s comments, Tesla’s stock rose by more than 3% on Monday. Despite a flat performance year-to-date, shares have staged a significant recovery over the past two months. Tesla is set to announce its second-quarter earnings on Tuesday, where Musk is expected to provide updates on the delayed launch of the robotaxi.