Tesla’s stock experienced a rise on Monday as CEO Elon Musk continued to highlight the potential value of the company’s humanoid robots. Musk announced on X that Tesla aims to have genuinely useful humanoid robots in low production for internal use next year, with hopes for high production for other companies by 2026.
During Tesla’s annual meeting in April, Musk indicated that production of the Optimus robot would begin in a limited capacity in 2025, predicting that over 1,000 robots would be operational by the end of that year. While two robots are currently on the factory floor, Tesla has not disclosed their specific functions.
Musk further speculated that the introduction of these robots could potentially boost Tesla’s market capitalization by $20 trillion. The robots are not expected for public sale until late 2025, with projected prices ranging between $20,000 and $30,000.
However, the definition of “genuinely useful” remains vague, as past demonstrations of the robots have faced criticism. In May, Tesla was accused of misleadingly showcasing a robot folding a shirt with the assistance of an off-screen operator.
Analysts have expressed skepticism about Tesla’s ability to compete with established companies like Boston Dynamics. MKM analyst Craig Irwin remarked that the bar has been set high, noting Tesla’s previous attempts to promote the Optimus robot were less than convincing.
In addition to Boston Dynamics, Tesla faces competition from Honda and Apptronik, while Chinese firms Dongfeng Motor and Nio are testing humanoid robots developed by UBTech Robotics in their production lines. BMW has incorporated humanoid robots from Figure in its operations since early this year.
Following Musk’s comments, Tesla’s stock rose over 3% on Monday. The stock has remained relatively stable year-to-date after experiencing a significant recovery in the last two months. Tesla is set to report its second-quarter earnings on Tuesday, where Musk is anticipated to provide an update on the company’s postponed robotaxi launch.