Tesla shares saw a rise on Monday as CEO Elon Musk continued to highlight the potential benefits of the company’s humanoid robots. Musk, in a post on X, stated that Tesla plans to have genuinely functional humanoid robots for internal use in low production by next year, with hopes for mass production for other businesses by 2026.
During Tesla’s annual meeting in April, Musk indicated that the Optimus robots would move into limited production in 2025, predicting that over 1,000 units would be operational at Tesla by year-end. Although two robots are currently present on the factory floor, Tesla has not disclosed their specific functions.
Musk presented a vision in April that suggested the robots could potentially add $20 trillion to Tesla’s market value. The humanoid robots are not expected to be available for sale until late 2025, and they are anticipated to retail between $20,000 and $30,000.
However, the definition of “genuinely useful” remains uncertain. Previous product demonstrations have drawn skepticism; notably, a May video showcasing an Optimus robot folding a shirt was criticized for appearing to be controlled by an off-screen individual.
This is not the first instance of Tesla using questionable methods to promote its robots. The company initially unveiled its Optimus robot project in 2021 with a demonstration featuring someone dancing inside a robot suit.
MKM analyst Craig Irwin expressed doubt about Tesla’s ability to match the technological advancements of competitors like Boston Dynamics, suggesting that what Tesla has shown so far falls short of current robotics standards.
In addition to Boston Dynamics, Tesla faces competition from Honda and Apptronik. Chinese companies Dongfeng Motor and Nio are testing humanoid robots developed by UBTech Robotics in their production facilities, while BMW has integrated humanoid robots from Silicon Valley-based Figure since January.
Tesla’s stock rose over 3% on Monday following Musk’s remarks, bringing shares to a near flat position year-to-date after a notable recovery in the last couple of months.
The company is set to report its second-quarter earnings on Tuesday, during which Musk is expected to provide updates on the much-anticipated robotaxi rollout.