Tesla’s stock experienced an uptick on Monday as CEO Elon Musk continues to highlight the potential benefits of the company’s humanoid robots. Musk stated on X that Tesla aims to have “genuinely useful humanoid robots” in limited production for internal use next year, with an eye towards higher production for other companies by 2026.
During Tesla’s annual shareholder meeting in April, Musk mentioned plans to move the Optimus robot into limited production in 2025, projecting that over 1,000 robots would be operational at Tesla facilities by the year’s end. Currently, two robots are working on the factory floor, though Tesla has not disclosed their specific functions.
Musk has previously suggested that the introduction of these robots could significantly increase Tesla’s market capitalization by about $20 trillion, with expectations for the robots to be available for sale by late 2025 at prices ranging between $20,000 and $30,000.
However, the practicality of these robots remains to be seen. Some past demonstrations have raised skepticism, such as a May incident where Tesla was accused of sharing a video of an Optimus robot folding a shirt, which many believed was operated by a person off-screen. This isn’t the first time Tesla has faced criticism for its promotional tactics; the initial reveal of the Optimus robot in 2021 featured a dancer clad in a robot costume.
Analyst Craig Irwin from Roth MKM expressed doubt about the timeline for a “sentient humanoid robot,” noting the challenges Tesla faces in catching up with competitors like Boston Dynamics. Other industry players include Hyundai Motor’s Boston Dynamics, Honda, and Apptronik, as well as Nio and Dongfeng Motor in China, which are testing humanoid robots from UBTech Robotics in their production lines. BMW has also integrated Silicon Valley-based Figure’s humanoid robots within its facilities.
Following Musk’s statements, Tesla’s stock rose by more than 3% on Monday. Year-to-date, shares have remained stable after a significant recovery over the last two months. Tesla is set to release its second-quarter earnings on Tuesday, where Musk is anticipated to provide updates on the delayed robotaxi project.