Tesla’s shares experienced an increase on Monday as CEO Elon Musk highlighted the potential value of the company’s humanoid robots. Musk announced via X that Tesla plans to have functional humanoid robots in limited production for internal use next year, with hopes of scaling up production for external customers by 2026.
During a shareholder meeting in April, Musk had indicated that the Optimus robots would enter limited production in 2025, with a target of having over 1,000 robots operational at Tesla by the end of that year. Currently, two robots are present on the factory floor, though their specific roles remain undisclosed.
Musk previously suggested that the introduction of these robots could potentially boost the company’s market capitalization by $20 trillion. The robots are not anticipated to be available for sale until late 2025, with prices expected to range between $20,000 and $30,000.
However, the definition of “genuinely useful” that Musk refers to remains ambiguous, as previous demonstrations of the robots have raised skepticism. For example, in May, Tesla faced criticism for a video showcasing an Optimus robot folding a shirt, which was claimed to have been controlled by an off-screen individual.
This is not the first instance of Tesla utilizing dramatic visuals to promote its robots. The company infamously introduced the Optimus project in 2021 through a performer dressed in a robot suit.
Craig Irwin, an analyst at MKM Partners, expressed skepticism about Tesla’s capability to match competitors like Boston Dynamics, remarking that Tesla’s showcased technology seems outdated by comparison.
Tesla will face competition not just from Boston Dynamics, but also from companies like Honda and Apptronik. In addition, Chinese automakers Dongfeng Motor and Nio are testing humanoid robots developed by UBTech Robotics, while BMW has implemented humanoid robots from the Silicon Valley firm Figure in its operations since January.
On the back of Musk’s comments, Tesla stock rose over 3% on Monday. The company’s stock performance has generally remained stable this year after a significant recovery in recent months. Tesla is set to report its second-quarter earnings on Tuesday, where Musk is likely to provide updates on the delayed robotaxi launch.