Tesla’s stock experienced a rise on Monday as Elon Musk promoted the potential value of the company’s humanoid robots. Musk announced on social media that Tesla aims to produce functional humanoid robots for internal use next year, with plans for wider production for external clients by 2026. During Tesla’s annual meeting in April, Musk predicted that the Optimus robots would enter limited production in 2025, hoping to have over 1,000 working robots by the year’s end. Currently, two robots are operational on the factory floor, though their specific tasks have not been disclosed.
In his remarks, Musk mentioned that the robots could potentially add $20 trillion to Tesla’s market capitalization, although they are not expected to be available for sale until late 2025, likely priced between $20,000 and $30,000. However, there are questions about the actual utility of these robots, as previous demonstrations have raised skepticism. For instance, in May, Tesla shared a video of an Optimus robot folding a shirt, which was later suggested to be manipulated by an off-screen operator.
Critics have pointed out that Tesla has sometimes used exaggerated presentations to showcase these robots. For example, the initial unveiling of the Optimus project in 2021 featured an individual dancing in a robot costume. Analyst Craig Irwin noted in a recent interview that demonstrating a sentient humanoid robot by 2025 seems overly ambitious, highlighting that Tesla’s demonstrations lag behind current advancements in robotics.
Tesla faces competition from companies like Boston Dynamics and Honda’s robotics division. Additionally, both Dongfeng Motor and Nio in China are exploring humanoid robots developed by UBTech Robotics for their production lines, while BMW has integrated humanoid robots from Figure, a Silicon Valley firm, into their operations.
Following Musk’s statements, Tesla’s stock increased by over 3% on Monday. Year-to-date, shares have remained relatively stable after recovering significantly over the past two months. Tesla is set to report its second-quarter earnings on Tuesday, where Musk is anticipated to provide updates on the much-anticipated robotaxi project, which has seen delays.