Tesla shares experienced an increase on Monday following Elon Musk’s continued promotion of the potential benefits associated with the company’s humanoid robots.
Musk announced on social media platform X that Tesla plans to produce genuinely useful humanoid robots for internal use next year, with broader production aimed for 2026.
During a Tesla shareholder meeting in April, Musk had stated that the Optimus robots would enter limited production by 2025, forecasting that over 1,000 units would be operational within the company by the year’s end. Currently, Tesla has two robots on its factory floor, though details regarding their specific functions remain undisclosed.
Musk previously suggested that these robots could contribute an estimated $20 trillion to Tesla’s market value. However, the robots are not anticipated to be available for purchase until late 2025, with expected retail prices ranging from $20,000 to $30,000.
The exact nature of Musk’s assertion that the robots will be “genuinely useful” is uncertain. Previous demonstrations of the product have faced skepticism; for instance, in May, Tesla was criticized for presenting a video of an Optimus robot folding a shirt, which was allegedly manipulated by an off-screen individual.
Musk has faced scrutiny in the past for employing flashy marketing tactics for Tesla’s robot initiatives. The company’s introduction of the Optimus project in 2021 included an event where an entertainer performed in a robot costume.
Analyst Craig Irwin from Roth MKM expressed doubt over Tesla’s ability to compete with established robotics companies, noting that their demonstrations have not kept pace with advancements in the field.
Tesla is not the only company in this race. They will contend with Hyundai Motor’s Boston Dynamics, Japan’s Honda, and Apptronik. Chinese manufacturers Dongfeng Motor and Nio are exploring humanoid robots from UBTech Robotics for their production lines, while BMW has incorporated humanoid robots from Silicon Valley’s Figure in its operations since the beginning of the year.
On the back of Musk’s statements, Tesla’s stock rose by more than 3% on Monday. Year-to-date, the shares have been relatively stable following significant recovery over the last two months.
Investors are looking ahead to Tesla’s upcoming second-quarter earnings report on Tuesday, where Musk is expected to provide insights regarding the long-awaited robotaxi reveal.