Tesla’s stock saw a notable increase on Monday, buoyed by Elon Musk’s ongoing promotion of the expected value that the company’s humanoid robots could bring. Musk shared on social media that Tesla plans to have a small number of its humanoid robots, named Optimus, in limited production for internal use by next year, with hopes of ramping up to wider production for other companies by 2026.
Back in April, during Tesla’s annual shareholder meeting, Musk projected that Optimus would enter limited production in 2025, with more than 1,000 units operational at Tesla facilities by year’s end. While two robots are already on Tesla’s factory floor, the company has not disclosed their specific functions.
Musk has previously hinted that the introduction of these robots could add as much as $20 trillion to Tesla’s market capitalization. Although the robots aren’t expected to hit the market until late 2025, preliminary price estimates suggest they could retail for between $20,000 and $30,000.
However, there is skepticism surrounding Musk’s claims about the robots being “genuinely useful.” Critics point out that earlier demonstrations of the technology have not been particularly convincing; for example, a video showing an Optimus robot folding a shirt was later revealed to involve off-screen human control. Furthermore, analysts, including Craig Irwin from Roth MKM, caution that Tesla faces tough competition from established players like Boston Dynamics, as well as other companies like Honda and Apptronik. Additionally, Chinese manufacturers like Dongfeng Motor and Nio are already experimenting with humanoid robots in their production lines, and BMW has incorporated robots developed by Figure since January.
Musk’s comments had a positive impact on Tesla’s stock, which rose over 3% on Monday. Year-to-date, shares have remained relatively stable following a significant recovery in recent months. The company is expected to provide more insights during its upcoming second-quarter earnings report, especially regarding the much-anticipated debut of its robotaxi service.
This situation underscores the ongoing excitement and advancements in AI and robotics within the automotive industry, presenting a mix of optimism from investors and skepticism from analysts. The evolution of humanoid robots holds promise, which could potentially lead to innovative transformations in manufacturing and other sectors.
In summary, Tesla’s ambition to innovate with humanoid robots continues to draw attention and investment, reflecting a cautious but hopeful future for the company’s technological aspirations.