The story of Optimus, the humanoid robot at the heart of Elon Musk's growth plans for Tesla

Tesla CEO Elon Musk first introduced an Optimus prototype in 2022.PATRICK T. FALLON/AFP—Getty Images/ReutersTesla is developing a humanoid robot called Optimus.CEO Elon Musk said about 80% of Tesla's future value could come from Optimus.Musk teased Optimus V3 on X, calling it "sublime."For Elon Musk, the future of Tesla isn't its global fleet of electric vehicles.It's Optimus, the humanoid robot the company is developing to assist humans with everyday tasks."~80% of Tesla's value will be Optimus," Musk wrote on X this month.Although Musk is involved in several business ventures — including aerospace manufacturing and AI development — creating an autonomous humanoid robot has long been a priority. In 2024, Musk told shareholders that Optimus could help Tesla raise its market cap to $25 trillion in the future."Even the most optimistic estimates that I've seen for Optimus — the Optimus optimist — I think underaccount the magnitude of what the robot will be able to do," Musk said.If Musk's predictions hold true, Optimus will help ensure that he meets the various thresholds on his $1 trillion pay package proposed by Tesla's board this month.Here's everything you need to know about Optimus.Elon Musk introduced the Tesla Bot in 2021.CFOTO/Future Publishing via Getty ImagesAlthough Tesla became a household name as an automaker, the company announced during an AI event in 2021 that it would expand into humanoid robots.Musk said what was then called the Tesla Bot would be 5'8" and weigh 125 pounds. The robot would be able to deadlift 150 pounds and carry 45 pounds, but only travel around 5 mph.Musk said the robot, built with eight cameras and the company's Autopilot software, would make working optional"Essentially, in the future, physical work will be a choice," Musk said. "If you want to do it, you can, but you won't need to do it."However, audience members didn't see an official prototype that day. Instead, a man wearing a robot-themed bodysuit danced and paraded across the stage.An official prototype, dubbed Optimus, debuted in 2022.By January 2022, Musk had developed lofty ambitions for Tesla's humanoid robot, which became known as Optimus."In terms of priority of products, I think the most important product development we're doing this year is actually the Optimus humanoid," he said during Tesla's Q4 earnings call.Musk unveiled an official Optimus prototype eight months later during Tesla AI Day. At the event, audience members watched as the robot walked across the stage, moved its limbs, and waved at the crowd.Tesla accompanied the demonstration with a video of Optimus completing various tasks, including delivering a package and watering plants. "There's still a lot of work to be done to refine Optimus and improve it," Musk said. "Obviously, this is just Optimus version one. "In 2023, Tesla debuted Optimus Gen 2.CFOTO/CFOTO/Future Publishing via Getty ImagesTesla showed off Optimus Gen 2 in late 2023.In a December promotional video, the company said a 30% walk speed boost and improved full-body control were among the updates for Optimus Gen 2. Footage also showed the robot doing squats and picking up an egg.The robots' improved capabilities highlight how quickly the larger humanoid robotics landscape is transforming."Everything in this video is real, no CGI," Tesla senior manager Julian Ibarz wrote on X. All real time, nothing sped up. Incredible hardware improvements from the team."Optimus robots took center stage at Tesla's 2024 "We Robot" event.Optimus is your personal R2D2 / C3PO, but betterIt will also transform physical labor in industrial settings pic.twitter.com/iCET3a9pd8— Tesla (@Tesla) October 11, 2024 Although Tesla unveiled its Robotaxi and Robovan during its 2024 "We, Robot" event, the Optimus robots stole the show.During the event, robots served drinks, answered questions, and played rock-paper-scissors. Videos of guests interacting with the robots gained traction on social media."One of the things we wanted to show tonight is that Optimus is not a canned video, it's not walled off," Musk told guests. "The Optimus robots will walk among you. Please be nice to the Optimus robots."However, the robots aren't fully autonomous just yet. Analysts at Morgan Stanley said the Optimus robots at the event "relied on tele-ops," meaning a human controlled the robot remotely. The event failed to impress Wall Street analysts and investors, resulting in Musk's net worth falling $15 billion that October.Musk says he plans to scale up humanoid robots by the end of 2025."Unfortunately, what choice do we have? Apple didn't just put their thumb on the scale, they put their whole body!" Elon Musk wrote on X on Monday.Chip Somodevilla via Getty ImagesIn May, Musk told CNBC he planned to place Optimus robots in Tesla factories by the end of 2025."We expect to have thousands of Optimus robots working in Tesla factories by the end of this year, beginning this fall," Musk said. "And we expect to scale Optimus up faster than any product, I think, in history, to get to millions of units per year as soon as possible."He said Tesla could produce one million units by 2030."I think we feel confident in getting to one million units per year in less than five years, maybe four years. So by 2030, I feel confident in predicting one million Optimus units per year — it might be 2029," he said.Tesla's Q1 2025 update said the company is "on track" for its Optimus builds on its Fremont pilot production line.However, Chris Walti, the former team lead for Tesla's robot, told Business Insider that humanoid robots may not be an ideal fit in factories."It's not a useful form factor. Most of the work that has to be done in industry is highly repetitive tasks where velocity is key," Walti said.Optimus has weathered production challenges amid new tariffs.Tesla's Optimus robot on display inside the Tesla pop-up store near Shibuya crossing in April 2025.Stanislav Kogiku/SOPA Images/LightRocket via Getty ImagesDuring Tesla's earnings call in April, Musk said Optimus production was affected by supply chain issues in China. Tesla uses rare-earth magnets from China to power the robot's actuators.China requires an export license for certain rare-earth materials, which pushed Tesla to look for alternative sources. Beijing paused exports of specific rare-earth elements in response to President Donald Trump's tariffs.Additionally, Musk said China needed reassurance that the magnets Tesla acquires wouldn't be used for a weaponized system or in other robots."Tesla as a whole does not need to use permanent magnets, but when something is volume constrained, like an arm of the robot, then you want to try to make the motors as small as possible," Musk said.At the time, Musk said Tesla was "working through" the issue with China and hoped to get a license.Tesla changed how it trains Optimus robots.A Tesla Optimus robot at the World Artificial Intelligence Conference in China in July 2025.Feature China/Future Publishing via Getty ImagesTesla has changed its strategy for training the Optimus robot.The company will now primarily use video recordings of humans performing tasks to train the robots instead of motion capture suits and teleoperation.The company believes stepping back from teleoperation and motion capture suits will allow Tesla to scale data collection faster, insiders told Business Insider last month.The pivot underscores Musk's belief that AI can complete complex tasks using cameras. He's used a similar approach when training Tesla's autonomous driving software.Elon Musk teased Optimus V3 in September.That’s Optimus 2.5. Optimus 3 will have agility roughly equal to an agile human.— Elon Musk (@elonmusk) July 14, 2025 Musk has hyped up the newest model of Optimus multiple times on X, including in July when he said, "Optimus 3 will have agility roughly equal to an agile human."More recently, Musk called Optimus V3 "sublime" in an X post on Sunday.Read the original article on Business Insider

Comments

Business News

Low-deposit mortgage choice ‘hits 17-year high’

Evening Standard

Detained South Korean Workers Will Leave U.S. ‘Voluntarily’—Trump Says Foreign Investors Can “Legally Bring…Very Smart People’

about 3 hours ago

After 18 Years, ‘The Senior’ Football Movie Is Finally Hitting Theaters

Forbes

Comments

Business News

Low-deposit mortgage choice ‘hits 17-year high’

Food flavourings firm Treatt set for £156.6m takeover by rival Natara

Insurer Phoenix changing name to Standard Life next year

Guyana's president sworn in for a second term as oil wealth transforms the nation

South Koreans feel betrayed over detainment of hundreds of workers at plant raid in Georgia

Mexico says it's cracking down on fuel theft and critics say it underscores the depth of the problem

Explosive testimony identifies legislators, officials in Philippine flood-control corruption inquiry

Tottenham says club is 'not for sale' after rejecting 2 expressions of interest

Indonesian leader fires the ministers of finance and security after deadly protests across the country

The leadership race for Japan's governing LDP party explained

A rebel-held Congolese city uses damaged banknotes due to a cash shortage

All Of The Performances From The 2025 VMAs

Starbucks Cafe Of The Future Central To Second Coming Of Third Space

Bruce Springsteen Charts A Brand New Top 10 Song In America

Darius Rucker On Why He Gives Back Through Golf

Benson Boone Remains A Force At Pop Radio

Injured Nathan Eovaldi Had A Brilliant Season Worthy Of Recognition

Lady Gaga Bests Her Own Biggest Radio Hit

How To Overcome Predictive AI's Everyday Failure

Deftones Waited Decades To Hit No. 1 For The First Time

The Energy Department Gets An F On Its Climate Report

Ariana Grande Wins Video Of The Year At MTV VMAs, Thanks Her Therapist

California FAIR Plan continues denying smoke damage claims despite court loss and regulatory action

Before logo fiasco, Cracker Barrel had quietly started serving day-old biscuits, microwaved meatloaf: employees

Homebuyer shortage forces many sellers to lower prices, walk away as slump drags on

Low-deposit mortgage choice ‘hits 17-year high’

Highest student loan balance nears £300,000 as millions owe over £50,000

Detained South Korean Workers Will Leave U.S. ‘Voluntarily’—Trump Says Foreign Investors Can “Legally Bring…Very Smart People’

After 18 Years, ‘The Senior’ Football Movie Is Finally Hitting Theaters

Add These Players From The Week 2 Waiver Wire (Fantasy Football)

Norway votes in a closely fought election with the future of a wealth tax in focus

How to support your child through university without risking your financial future

India-Pakistan Is Cricket’s Hottest Ticket As Demand Heightens At Asia Cup

Career Grand Slam On Carlos Alcaraz’s Mind After U.S. Open Triumph

Utah Enacts Law To Regulate Use Of AI For Mental Health That Has Helpful Judiciousness

The smart business guide

The Ultimate Dubai And Abu Dhabi Itinerary

San Diego Wave FC Retires Alex Morgan’s Iconic Jersey Number

The most powerful Porsche 911 EVER! New Turbo S arrives with 700hp - here's how much it costs

Opinion: Norwegian election to be better than a Hitchcock thriller

The best and worst looks at the 2025 MTV VMAs

Why Paul Graham advises against founding a startup in high school

FTSE 100 Live 08 September: Index set for a robust start, oil prices rise

London needs the old-school might of Lloyd’s more than ever

South Korea will bring home 300 workers detained in massive Hyundai plant raid in Georgia

Asian shares rise after Japan's prime minister resigns

Japan's economy grew at faster rate in fiscal Q1 than initially thought

China's export growth slows in August as US tariffs and trade tensions bite

Max Scherzer Acknowledges Pitch Tipping In Intriguing Blue Jays-Yankees Plot Twist

‘SNL50’ Leads Night 2 Of Creative Arts Emmys; ‘The Traitors’ And ‘Pee-Wee As Himself’ Standouts

Economic crisis in France goes beyond its overspending problem

Beware these savings blunders that could cost you dear

Has AI worked out my inheritance tax correctly? STEVE WEBB replies

Putin's energy fix for drone-hit Russia: Dig up more coal

Blackpink's Rosé just notched an unprecedented win for K-pop at the VMAs

Lisa’s ‘Born Again’ With Doja Cat And RAYE Wins MTV VMA For Best K-Pop

Sabrina Carpenter Delivers Rain-Soaked Performance Of ‘Tears’ At MTV VMAs

Photos: Biggest Celebrities At 2025 U.S. Open Men’s And Women’s Finals

Shoppers love 'painless and best' hair removal gadget so much it keeps selling out

Ukraine's new interceptor drones destroyed 150 of Russia's long-range UAVs in a single night, Zelenskyy says