Tesla’s stock experienced a rise on Monday as CEO Elon Musk continued to highlight the potential value of the company’s humanoid robots. Musk stated on social media platform X that Tesla plans to have “genuinely useful humanoid robots” in low production for internal use next year and aims for high production available for other companies by 2026.
During Tesla’s annual meeting in April, Musk indicated that the company’s Optimus robots would enter limited production by 2025, predicting over 1,000 robots could be operational at Tesla by the year’s end. Currently, two robots are already in use on the factory floor, but Tesla has not disclosed their specific functions.
Musk also suggested that the robots could significantly boost the company’s market capitalization by up to $20 trillion. The robots are projected to be available for sale by late 2025, with expected prices ranging from $20,000 to $30,000.
However, the term “genuinely useful” remains vague as past demonstrations have raised doubts. In May, Tesla faced criticism for a video showcasing an Optimus robot folding a shirt, which was reportedly manipulated by a person off-screen.
Skepticism surrounds Tesla’s ambitious robot plans, especially given its unconventional debut of the Optimus project in 2021, which featured an actor in a robot costume dancing. Roth MKM analyst Craig Irwin remarked that competing against established companies like Boston Dynamics would be challenging for Tesla, pointing out that their previous demonstrations do not reflect modern technological advancements.
In addition to Boston Dynamics, Tesla faces competition from Honda, Apptronik, and Chinese firms such as Dongfeng Motor and Nio, which are testing humanoid robots developed by UBTech Robotics. BMW has also been utilizing humanoid robots created by Silicon Valley’s Figure in its facilities since January.
On the back of Musk’s announcements, Tesla’s stock rose more than 3% on Monday. Year-to-date, shares have remained steady after a significant recovery over the last two months. Tesla is set to report its second-quarter earnings on Tuesday, and Musk is expected to provide updates on the company’s long-awaited robotaxi project.