Tesla’s stock price has seen an uptick on Monday, primarily fueled by Elon Musk’s ongoing advocacy for the potential of the company’s humanoid robots. Musk took to X to announce that Tesla intends to develop genuinely useful humanoid robots for internal use in limited production by next year, with hopes of broader availability for other enterprises by 2026.
During Tesla’s annual shareholder meeting in April, Musk had indicated that the company would start limited production of the Optimus robot by 2025, projecting that over 1,000 units could be operational at Tesla facilities by year’s end. Currently, two prototype robots are already on the factory floor, though Tesla has not disclosed their specific functionalities.
Musk envisions that the introduction of these robots could significantly bolster the company’s market standing, estimating a potential addition of $20 trillion to Tesla’s market capitalization. While the robots are not anticipated to hit the market until late 2025, their expected price ranges between $20,000 and $30,000.
However, there has been skepticism about the practicality and effectiveness of these robots. Critics highlighted previous demonstrations that have raised questions about the robot’s capabilities, citing instances where Tesla showcased an Optimus robot appearing to fold a shirt, an act later revealed to be controlled by a person off-screen. Furthermore, the company famously introduced its Optimus project in 2021 with a promotional stunt featuring a dancer inside a robot costume.
Analysts, such as Craig Irwin from MKM, have noted the challenges Tesla faces in catching up to established players like Boston Dynamics, as well as other competitors such as Honda and Apptronik, with several global automakers already integrating humanoid robotics in their production lines.
Despite the skepticism, Tesla’s stock rose more than 3% in response to Musk’s comments, remaining stable year-to-date after a significant resurgence over the past two months. Investors are keenly awaiting Tesla’s second-quarter earnings report on Tuesday, where Musk is expected to provide insights regarding the much-anticipated robotaxi rollout.
In conclusion, while challenges remain in the quest for viable humanoid robots, the ongoing developments and Musk’s visionary outlook stimulate interest within the market, showcasing Tesla’s potential to innovate and adapt in a rapidly evolving technological landscape. As the race for humanoid robotics heats up, Tesla’s journey highlights both the possibilities and the hurdles that lie ahead in this exciting field.