Tesla’s stock saw a notable increase on Monday as CEO Elon Musk continues to advocate for the potential of the company’s humanoid robots. Musk announced on social media that Tesla plans to produce “genuinely useful” humanoid robots in limited quantities for internal use next year, with hopes of ramping up production for other companies by 2026.
During Tesla’s annual shareholder meeting in April, Musk had previously indicated that the company’s Optimus robot would enter limited production in 2025, projecting that more than 1,000 robots could be in operation at Tesla facilities by the end of that year. Currently, two robots are on the factory floor, though Tesla has not disclosed their specific tasks.
Musk suggested that the introduction of these robots could add as much as $20 trillion to Tesla’s market value. However, the robots are not expected to go on sale until late 2025, with anticipated prices ranging from $20,000 to $30,000.
Critics question Musk’s definition of “genuinely useful” robots, citing past product demonstrations that have been underwhelming. For instance, in May, Tesla was criticized for releasing a video of an Optimus robot supposedly folding a shirt, which many believed was actually being controlled by a person off-screen.
Tesla has faced scrutiny for its approach to showcasing the robot project, which debuted in 2021 with a less-than-serious demonstration involving a dancer in a robot costume. Analyst Craig Irwin of MKM expressed skepticism about Tesla’s ability to compete with established firms like Boston Dynamics, noting the company’s previous outputs have not advanced much beyond outdated technology.
The competition includes Hyundai Motor’s Boston Dynamics, Japan’s Honda, and Apptronik, alongside Chinese automakers Dongfeng Motor and Nio, which are exploring humanoid robots made by UBTech Robotics. BMW has also integrated robots from Silicon Valley-based Figure into its operations since January.
Following Musk’s comments, Tesla’s stock increased by over 3% on Monday. The shares are relatively stable year-to-date, showing a significant recovery over the past two months. Tesla is scheduled to release its second-quarter earnings on Tuesday, where Musk is anticipated to provide further updates on the company’s postponed robotaxi launch.