Tesla’s stock experienced an increase on Monday as CEO Elon Musk underscored the potential value of the company’s humanoid robots.
In a statement on X, Musk revealed that Tesla plans to produce “genuinely useful” humanoid robots for internal use next year, with hopes for higher production levels for other businesses by 2026. This follows Musk’s earlier announcement in April during a shareholder meeting, where he projected limited production of the Optimus robot in 2025, estimating that over 1,000 units could be operational within Tesla’s facilities by the end of that year. Currently, two robots are already on the factory floor, although Tesla has not disclosed their specific functions.
Musk previously mentioned a hypothetical scenario in which the robots could add $20 trillion to Tesla’s market capitalization. The robots are anticipated to go on sale by the end of 2025, with pricing expectations between $20,000 and $30,000.
However, the description of the robots as “genuinely useful” raises questions, particularly given past product demonstrations that have attracted skepticism. For instance, a video was posted in May showing an Optimus robot folding a shirt, which later drew accusations of being manipulated by an off-screen operator.
This isn’t Tesla’s first foray into making a splash with its robots. The company’s initial announcement of the Optimus project in 2021 raised eyebrows when it featured a person performing a dance while dressed in a robot costume.
Industry analysts, like Craig Irwin from MKM, have expressed doubts about Tesla’s ability to compete with established players like Boston Dynamics. He emphasized that what Tesla has shown so far feels outdated compared to current standards.
In addition to Boston Dynamics owned by Hyundai, Tesla faces competition from Honda and Apptronik in Japan. Furthermore, Chinese automakers Dongfeng Motor and Nio are testing humanoid robots from UBTech Robotics in their production lines, while BMW has employed Figure’s humanoid robots in their operations since January.
On Monday, Tesla’s stock saw a rise of over 3% following Musk’s remarks. The company’s shares have remained relatively stable year-to-date, rebounding significantly in the last two months. Tesla is set to announce its second-quarter earnings on Tuesday, and Musk is expected to provide updates regarding the postponed robotaxi launch.