Tesla’s stock experienced a rise on Monday as CEO Elon Musk highlighted the potential value of the company’s humanoid robots. Musk announced on X that Tesla plans to have “genuinely useful” humanoid robots in low production for internal use next year, with hopes for high production for external companies by 2026.
During Tesla’s annual meeting in April, Musk previously stated that the Optimus robot would enter limited production by 2025, with over 1,000 units expected to be operational at Tesla by year-end. Currently, two robots are on the factory floor, although their specific functions have not been disclosed.
Musk has suggested that the introduction of these robots could significantly boost Tesla’s market capitalization by as much as $20 trillion, although the robots are not anticipated to be available for purchase until late 2025 and are projected to retail between $20,000 and $30,000.
However, the capabilities of the robots remain somewhat ambiguous. Previous demonstrations have faced skepticism, such as a video of an Optimus robot folding a shirt that was later revealed to be controlled by an off-screen individual.
Critics have noted that Tesla’s promotional tactics have sometimes lacked authenticity, referencing the company’s initial unveiling of the Optimus robot in 2021, which featured a performer in a robot suit. Analyst Craig Irwin expressed doubts about Tesla’s ability to compete with established robotics companies, like Boston Dynamics, suggesting that Tesla’s advancements are dated compared to current technological standards.
In addition to Boston Dynamics, Tesla will face competition from Honda and Apptronik in the humanoid robotics sector. Notably, Chinese manufacturers like Dongfeng Motor and Nio are currently evaluating humanoid robots from UBTech Robotics, while BMW has been integrating Figure’s robots into its operations since January.
On the back of Musk’s announcements, Tesla’s stock rose over 3% on Monday. Shares have remained relatively stable year-to-date after a substantial recovery over the last two months. The company is set to report its second-quarter earnings on Tuesday, where Musk is expected to provide updates on the delayed robotaxi launch.