Tesla shares saw an increase on Monday as CEO Elon Musk emphasized the potential significance of the company’s humanoid robots. Musk announced on X that Tesla aims to produce “genuinely useful” humanoid robots for internal use by next year and hopes to ramp up production for other organizations by 2026.
During Tesla’s annual meeting in April, Musk suggested that limited production of the Optimus robots would begin in 2025, with a prediction of over 1,000 robots operational at the company by year’s end. Currently, two robots are present on Tesla’s factory floor, although the company has not specified their functions.
Musk previously discussed the potential economic impact of these robots, suggesting they could add up to $20 trillion to Tesla’s market value. The robots are not expected to be available for sale until late 2025, with projected prices ranging from $20,000 to $30,000.
However, the specifics of what makes these robots “genuinely useful” remain unclear. Past demonstrations have drawn skepticism; for instance, a May video claimed to show an Optimus robot folding a shirt, but it was alleged that a person off-screen was actually in control.
Tesla’s initial introduction of the Optimus robot in 2021 involved a person dressed in a robot suit performing a dance, raising questions about the authenticity of their demonstrations. Analyst Craig Irwin from MKM expressed skepticism about Tesla’s ability to compete in the humanoid robot space, citing the company’s reliance on dated technology in its presentations.
In addition to competition from Hyundai’s Boston Dynamics, Tesla faces rivals such as Japan’s Honda, Apptronik, and Chinese automakers like Dongfeng Motor and Nio, which are incorporating humanoid robots from UBTech Robotics in their operations. BMW has also integrated humanoid robots from Figure, based in Silicon Valley, into its facilities since early this year.
Musk’s comments led to a more than 3% rise in Tesla’s stock on Monday, with shares holding steady year-to-date following a significant rebound in recent months. The company is scheduled to report its second-quarter earnings on Tuesday, where updates on the long-awaited robotaxi launch are anticipated.