Tesla’s stock saw an increase on Monday as Elon Musk highlighted the potential benefits of the company’s humanoid robots. Musk announced on X that Tesla aims to have meaningful humanoid robots in limited production for internal use by next year, with hopes for broader manufacturing for other companies by 2026.
At Tesla’s annual shareholder meeting in April, Musk stated that the Optimus robots would enter limited production in 2025, projecting over 1,000 robots operational at the company by the end of that year. Although two robots are already present on the factory floor, Tesla has not disclosed their specific functions.
Musk suggested that these robots could significantly boost Tesla’s market capitalization, potentially adding $20 trillion. However, the robots are not expected to be available for sale until late 2025, with projected prices ranging from $20,000 to $30,000.
The definition of “genuinely useful” robots remains vague, considering previous product demonstrations have fallen short of expectations. In one instance, Tesla was criticized for a video showing an Optimus robot folding a shirt, which appeared to be controlled by a person off-screen.
Skepticism persists about Tesla’s solidity in this competitive field. Craig Irwin, an analyst at Roth MKM, expressed doubt regarding the company’s capabilities, pointing to their past launch strategy involving a dancer in a robot suit. He emphasized that catching up to competitors like Boston Dynamics will be challenging, given the current technological advancements in the industry.
Tesla faces competition not just from Boston Dynamics but also from Honda and Apptronik, as well as Chinese automakers Dongfeng Motor and Nio, who are utilizing humanoid robots from UBTech Robotics. BMW has also incorporated humanoid robots developed by Figure into its operations since January.
Following Musk’s comments, Tesla’s stock rose over 3% on Monday. Year-to-date, shares have largely remained unchanged after experiencing a significant recovery in recent months. Tesla is scheduled to report its second-quarter earnings on Tuesday, during which Musk is expected to provide updates about the delayed robotaxi launch.