Tesla’s stock experienced an uptick on Monday, driven by Elon Musk’s ongoing promotion of the company’s humanoid robots.
In a statement on social media, Musk announced that Tesla plans to have “genuinely useful humanoid robots” in limited production for internal use by next year, with hopes for larger production for external clients by 2026. Earlier this year, during Tesla’s annual meeting, Musk indicated that the Optimus robot would enter limited production in 2025, forecasting that over 1,000 units would be operational at Tesla’s facilities by the end of that year. Currently, two robots are functioning on the factory floor, although their specific roles have not been disclosed.
Musk previously suggested that this product could potentially add $20 trillion to Tesla’s market valuation. The robots are not expected to hit the market until late 2025, with anticipated prices ranging from $20,000 to $30,000.
However, it remains unclear what Musk means by “genuinely useful.” Previous demonstrations have faced scrutiny, including a video released in May where a robot appeared to fold a shirt, which was later reported to have been controlled by a person off-screen. Furthermore, Tesla’s introduction of the Optimus robot project in 2021 included a presentation with a person dressed in a robot costume, raising questions about the authenticity of their showcases.
Analyst Craig Irwin from MKM remarked that achieving a sentient humanoid robot by 2025 seems ambitious, highlighting the challenges Tesla faces in competing with established innovators like Boston Dynamics. He described Tesla’s offerings as outdated in comparison to current technological standards.
In addition to competing with Boston Dynamics, Tesla must also contend with the advancements of Japan’s Honda, Apptronik, and China’s Nio and Dongfeng Motor, which are already testing humanoid robots in their production lines. BMW has incorporated humanoid robots from Figure into its operations since January.
Following Musk’s remarks, Tesla’s stock increased by more than 3% on Monday. Despite this rise, shares remain relatively unchanged year-to-date after a significant recovery in the last two months. The company is set to release its second-quarter earnings on Tuesday, where Musk is expected to provide updates on the delayed robotaxi launch.