Tesla’s stock experienced a rise on Monday as Elon Musk reiterated the potential value of the company’s humanoid robots.
Musk announced on social media that Tesla would start low production of genuinely useful humanoid robots for internal use next year, with plans for higher production for other companies by 2026. In an earlier commitment during Tesla’s annual meeting in April, he mentioned that the Optimus robots would enter limited production in 2025 and projected that over 1,000 of them would be operational within Tesla by the end of that year. Currently, two robots are already present on the factory floor, although the specific tasks they perform remain undisclosed.
Musk has suggested that these robots could eventually add an estimated $20 trillion to Tesla’s market capitalization. However, the robots are not expected to be available for sale until late 2025, with prices anticipated to range between $20,000 and $30,000.
The definition of “genuinely useful” regarding the robots is somewhat ambiguous. Previous demonstrations have not been particularly convincing; for instance, Tesla faced criticism for an Optimus robot video in May, which allegedly included a humanoid folding a shirt under the control of an off-screen operator.
The unveiling of the Optimus project in 2021 was also marked by controversy, featuring a performer dancing in a robot suit, which raised skepticism about the seriousness of the development.
Analyst Craig Irwin from Roth MKM expressed doubts about Tesla’s ability to catch up with competitors like Boston Dynamics, noting that what Tesla has shown so far lags behind modern technological standards.
In addition to Boston Dynamics, Tesla will face competition from Honda and Apptronik. Chinese companies, such as Dongfeng Motor and Nio, are testing humanoid robots developed by UBTech Robotics in their production lines, while BMW has been utilizing humanoid robots from Silicon Valley-based Figure since January.
Musk’s comments on the robots contributed to over a 3% increase in Tesla’s stock on Monday. The stock has remained relatively stable this year after a significant rebound in the previous two months. Tesla is scheduled to report its second-quarter earnings on Tuesday, where Musk is expected to provide insights regarding the delayed unveiling of the company’s robotaxi initiative.