Tesla’s stock experienced an increase on Monday, driven by Elon Musk’s ongoing advocacy for the potential value of the company’s humanoid robots.
Musk shared on X that Tesla plans to produce genuinely useful humanoid robots in limited quantities for internal use next year, with hopes of ramping up to high production for other companies by 2026. At Tesla’s annual shareholder meeting in April, Musk mentioned that the Optimus robot would enter limited production in 2025, projecting more than 1,000 robots operational at Tesla by the end of that year. Currently, two robots are already working at the factory, although their specific tasks remain undisclosed.
Musk previously suggested that the introduction of these robots could add $20 trillion to Tesla’s market cap. The bots are anticipated to hit the market by late 2025, with an estimated selling price between $20,000 and $30,000.
However, the definition of “genuinely useful” as described by Musk has been questioned. Previous demonstrations of the robots have drawn skepticism, including an incident in May where Tesla was accused of showcasing a video of an Optimus robot folding a shirt, which was allegedly manipulated by an unseen operator.
Concerns also arise from Tesla’s past promotional tactics. The company first unveiled its Optimus robot project in 2021, featuring a person in a costume dancing instead of a fully functional robot. Analysts like Craig Irwin from MKM pointed out that achieving the level of a sentient humanoid robot by 2025 seems unrealistic, especially given the advancements from competitors like Boston Dynamics.
In addition to Boston Dynamics, Tesla faces competition from Honda and Apptronik, while Chinese manufacturers Dongfeng Motor and Nio are testing humanoid robots from UBTech Robotics on their assembly lines. BMW has incorporated humanoid robots from Silicon Valley’s Figure into its operations since January.
Following Musk’s remarks, Tesla stock rose over 3% on Monday. The shares remain relatively flat for the year after a significant recovery over the past two months. Tesla is set to report its second-quarter earnings on Tuesday, where Musk is expected to provide updates regarding the anticipated robotaxi launch.