Tesla shares experienced a rise on Monday following Elon Musk’s remarks regarding the potential value of the company’s humanoid robots. Musk announced on X that Tesla is on track to produce useful humanoid robots for internal use next year and hopes to increase production for other companies by 2026.
In April, during Tesla’s annual meeting, Musk indicated that the development of the Optimus robot would see limited production initiated by 2025, with a projection of over 1,000 robots operational at Tesla by the end of that year. Currently, two robots are functioning on the factory floor, though Tesla has not disclosed their specific roles.
Musk previously suggested that the introduction of these robots could substantially boost Tesla’s market capitalization by up to $20 trillion. The robots are projected to be available for purchase by late 2025, with prices expected to range between $20,000 and $30,000.
However, the exact nature of the robots’ “genuinely useful” capabilities remains ambiguous. Past demonstrations have been criticized; for example, in May, Tesla was accused of showing a video where an Optimus robot appeared to fold a shirt, which was reportedly manipulated by an operator off-screen.
Musk’s presentation strategy has also faced scrutiny, as the initial unveiling of the Optimus project in 2021 featured a dancer dressed in a robot costume. Craig Irwin, an analyst with Roth MKM, commented that reaching the level of competition provided by Boston Dynamics, as well as other companies like Honda and Apptronik, will be challenging for Tesla. He noted that the technology shown by Tesla has not advanced significantly since 2014.
In addition to Boston Dynamics, Tesla faces competition from Chinese companies, including Dongfeng Motor and Nio, which are testing humanoid robots from UBTech Robotics on their assembly lines. BMW has also been utilizing humanoid robots from Silicon Valley’s Figure in its operations since January.
Following Musk’s comments, Tesla’s stock increased by over 3% on Monday. Year-to-date, shares have remained relatively stable after a significant rebound in the past two months. Tesla is set to release its second-quarter earnings on Tuesday, during which Musk is anticipated to provide updates regarding the delayed robotaxi launch.