TSLA Stock Weakens As Elon Musk’s Optimus Faces New Challengers

• Nvidia, meanwhile, announced a partnership with Chinese robotics firm Unitree.
• Tesla’s Optimus is slated to enter production this year. 
• Musk said in April that the company would unveil the production version of the robot closer to the start of production to avoid copies.

Tesla Inc. (TSLA) stock fell sharply on Monday, closing down nearly 5%, as investors reacted to fresh competitive threats in the humanoid robotics sector, a key area the company has positioned as central to its future growth beyond electric vehicles.

Over the weekend, OpenAI CEO Sam Altman announced the launch of a dedicated OpenAI Robotics division. He posted on X that the company is hiring engineers to develop hardware, controls, systems, and machine-learning models for robots “that help people in the physical world.” Altman described an initial focus on skilled labor for infrastructure projects, with ambitions to scale to personal robots for everyday use.

Adding to the pressure, Nvidia announced a partnership with Chinese robotics firm Unitree to integrate its H2 humanoid robots with Nvidia’s Jetson Thor computing module and Isaac GR00T platform for advanced humanoid development. The announcements hint at rising competition for Tesla’s own humanoid robot Optimus before it enters volume production.

Optimus Updates

Tesla said in January that the company would unveil the Optimus version meant for mass production, nicknamed Gen 3, in the first quarter. The company, however, has yet to hold the event.

CEO Elon Musk said in the company’s Q1 earnings call in April that the company expects to reveal the robot closer to production in the July-August timeframe. The version slated for production is “almost ready to demonstrate” minus some aesthetic elements, Musk said, while adding that he wants the version to be “polished” and working functionally.

“We're also a little hesitant to show V3 off, because we find our competitors do a frame-by-frame analysis whenever we release something and copy everything they possibly can. So I think there's some value to, you know, not showing new technology until it's close to production,” Musk said.

Tesla initially looks to manufacture Optimus on a production line that replaces its one for the now-retired Model X and S vehicles at its Fremont factory. Musk also added in April  that it is “literally impossible to predict” the production rate of the Optimus this year, owing to the new nature of the product and intricacies of the supply chain involved.

Elon Musk envisions Tesla’s Optimus as a general-purpose humanoid robot capable of performing nearly any task a human can do, starting with dangerous, repetitive, or boring work. Initially deployed inside Tesla factories to boost production efficiency and address labor shortages, Optimus is ultimately intended to become an affordable personal household robot—priced between $20,000 and $30,000—that can handle chores, babysit, care for the elderly, walk dogs, mow lawns, or serve as a companion. Musk has repeatedly called it potentially “the biggest product of all time,” far exceeding the value of Tesla’s vehicle business.

How Did TSLA Retail Traders React?

On Stocktwits, retail sentiment around TSLA stock stayed within the 'bearish' territory over the past 24 hours, while message volume remained at 'normal' levels.

A Stocktwits user dismissed the chances of OpenAI disrupting Tesla in robotics.

Another user opined that the sell-off is an overreaction.

TSLA stock has gained 21% over the past 12 months. 

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