Tesla shares experienced an increase on Monday, driven by Elon Musk’s ongoing promotion of the company’s humanoid robot initiatives. Musk mentioned on social media that Tesla plans to have genuinely useful humanoid robots in low production for internal use next year, and he hopes for higher production levels for external companies by 2026.
During Tesla’s annual shareholder meeting in April, Musk had indicated that the robot, named Optimus, would enter limited production in 2025, with a target of having over 1,000 units operational by year’s end. Currently, two robots are on the factory floor, but Tesla has not disclosed their specific roles.
Musk also proposed a hypothetical scenario where these robots could add up to $20 trillion to Tesla’s market capitalization. However, sales of the robots are not anticipated until late 2025, with an expected price range of $20,000 to $30,000.
There is some skepticism regarding Musk’s claim of the robots being “genuinely useful,” as demonstrated capabilities have faced criticism. For instance, in May, Tesla was accused of misleadingly representing an Optimus robot that appeared to fold a shirt while allegedly being manipulated by an individual off-screen.
Tesla has previously faced criticism for how it showcased its robots, including the controversial debut of the Optimus project in 2021, featuring a person dressed in a robot suit.
Market analysts, such as Craig Irwin from MKM, have expressed doubts about Tesla’s ability to compete with established robotics firms, citing the company’s past efforts as outdated compared to current industry standards.
In addition to Boston Dynamics, Tesla faces competition from companies like Honda and Apptronik, as well as Chinese firms testing humanoid robots in production lines and BMW, which has been utilizing robots from Silicon Valley’s Figure since the start of the year.
Following Musk’s comments, Tesla’s stock climbed more than 3% on Monday. Year to date, shares have remained relatively stable after a significant recovery over the last couple of months. Tesla is set to release its second-quarter earnings on Tuesday, during which Musk is anticipated to discuss the delayed unveiling of the company’s robotaxi project.