Tesla’s stock is experiencing an uptick on Monday following Elon Musk’s ongoing promotions of the company’s humanoid robots. Musk stated on X that Tesla aims to create genuinely useful humanoid robots initially for internal purposes in low production by next year, with hopes for high production by 2026.
During Tesla’s annual shareholder meeting in April, Musk indicated that the Optimus robot would enter limited production in 2025, with a projection of having over 1,000 robots operational by the end of that year. Currently, two robots are reportedly in use on the factory floor, though the specifics of their tasks have not been disclosed.
Musk previously suggested that Optimus could potentially add $20 trillion to Tesla’s market capitalization. The robots are anticipated to go on sale by late 2025, with a price range of $20,000 to $30,000.
The exact nature of the robots’ usefulness has raised questions, as earlier demonstrations have lacked in effectiveness. Notably, Tesla faced criticism for showcasing a video in May that appeared to feature an Optimus robot folding a shirt, which was later revealed to have been manipulated by a person off-screen.
Tesla’s past attempts to demonstrate the robots have also been under scrutiny, including a controversial debut in 2021 that featured a performer in a robot costume.
Craig Irwin, an analyst at MKM Partners, remarked on Yahoo Finance that the industry is steeped in skepticism about achieving a sentient humanoid robot by 2025. He noted that Tesla’s efforts may struggle to match the advancements made by competitors like Boston Dynamics, citing their technology as being outdated.
In addition to Boston Dynamics, Tesla faces competition from Honda, Apptronik, and Chinese companies like Dongfeng Motor and Nio, which are testing humanoid robots from UBTech Robotics. BMW has also incorporated humanoid robots from the Silicon Valley-based Figure in its operations since January.
Following Musk’s remarks, Tesla’s shares increased by over 3% on Monday. Year-to-date, the stock remains relatively stable after experiencing a significant recovery over the past two months. Investors are looking ahead to Tesla’s second-quarter earnings report on Tuesday, where Musk is expected to provide updates on the delayed robotaxi initiative.