Tesla’s stock experienced a rise on Monday, fueled by Elon Musk’s enthusiastic promotion of the company’s humanoid robots, referred to as Optimus. Musk announced on X that Tesla plans to have genuinely useful humanoid robots in limited production for internal use next year, with hopes for mass production by 2026.
At Tesla’s annual meeting in April, Musk indicated that the Optimus robots could see limited production by 2025, with projections of over 1,000 units operational by the end of that year. Currently, two robots are already present on the factory floor, although details on their specific tasks have not been disclosed. The potential market impact of these robots is significant, with Musk stating that they could add up to $20 trillion to Tesla’s market capitalization. Expected prices for the robots may range between $20,000 and $30,000, but they won’t be available for sale until late 2025.
Despite this optimism, skepticism remains about the feasibility and capabilities of the robots. Critics point out that past demonstrations have not lived up to expectations, such as a controversial video released in May that allegedly showcased an Optimus robot folding a shirt, which turned out to be controlled by an off-screen person. Analyst Craig Irwin from Roth MKM emphasized the challenges Tesla faces in competing with established robotics companies like Boston Dynamics and others, stating that Tesla’s current offerings are not up to par with the state of modern robotics.
Competition is stout, with companies like Hyundai’s Boston Dynamics, Honda, and Chinese automakers such as Dongfeng Motor and Nio developing their own humanoid robots for factory use. BMW has also adopted humanoid robots from Silicon Valley-based Figure since early January.
Amid these developments, Tesla’s stock gained over 3% on Monday as investors reacted positively to Musk’s comments. The company’s shares have remained relatively stable year-to-date following a substantial rebound over the past couple of months. Looking ahead, Tesla is set to report its second-quarter earnings on Tuesday, where Musk is likely to provide updates on the long-awaited robotaxi initiative.
In summary, Tesla is at the forefront of ambitious advancements in robotics, and while the road ahead includes hurdles and skepticism, there remains a sense of excitement about the potential transformations these humanoid robots could bring to various industries. As the company moves closer to its production goals, it will be interesting to see how these developments actualize in the coming years.
The optimistic vision Elon Musk presents carries the potential to redefine the future of technology and production, sparking conversations about innovation and the evolution of robotics.