Tesla’s Humanoid Robot Ambitions Take Center Stage in Musk’s AI Strategy

Tesla’s humanoid robot, Optimus, has been appearing increasingly in public spaces, from company showrooms to manufacturing floors, and even in a widely shared photo with reality star Kim Kardashian. But CEO Elon Musk says the long-term vision for the robot extends far beyond occasional demonstrations.

Since unveiling the prototype in 2022, Musk has argued that Optimus could become a major part of everyday life, assisting in homes and workplaces. The robot features prominently in Tesla’s broader strategy to expand its presence in artificial intelligence, alongside projects such as self-driving robotaxis.

Investors signaled their support for that direction this week by approving Musk’s multi-billion-dollar compensation package. Among the performance targets tied to the deal is the deployment of one million AI-powered robots over the next decade.

The push comes as interest in humanoid robots grows across the technology sector. A report from Morgan Stanley last week projected that Apple could generate more than $100 billion annually from humanoid robotics by 2040. Manufacturers such as Foxconn are also reported to be testing the machines in factory environments.

Companies developing the technology argue that putting advanced AI in a human-like form allows machines to operate more effectively in real-world settings designed for people. Several firms are already exploring household uses. One model, the Neo robot from 1X, is expected to launch in 2026 capable of simple chores, though reports suggest it currently requires human teleoperation.

Analysts say falling hardware costs and rapid advances in AI are helping accelerate commercial adoption. “From warehouses and restaurants to elder care and security, new use cases are gaining traction fast,” wrote Forrester analyst Brian Hopkins, who predicts humanoid robots could reshape several industries by the end of the decade.

Musk has said Optimus could eventually become Tesla’s most valuable product line, surpassing its electric vehicles. He has also linked the robot to Tesla’s efforts to develop artificial general intelligence, or systems capable of human-level reasoning.

Still, some robotics experts remain skeptical of designing machines to mimic the human body. Building stable robotic legs and joints remains more complex and costly than using wheels, and practical purposes often do not require a humanoid form.

Despite the debate, the field is advancing quickly. Boston Dynamics’ Atlas robot has demonstrated increasingly agile movement, and the company recently introduced a new electric model designed for more sophisticated tasks.

Meanwhile, Tesla has continued to showcase Optimus in controlled settings, including serving food at a company-branded diner in Los Angeles. OpenAI chief executive Sam Altman recently suggested that humanoid robots may be closer to mainstream adoption than the public expects.

Both Altman and Musk have publicly disagreed on many issues, but when it comes to the rise of humanoid robotics, they appear to share one view: the technology is coming, and soon.