Tesla shares rose 0.3% in premarket trading on Wednesday after CEO Elon Musk provided a brief update on the company’s humanoid robotics program. He described the upcoming third version of the Optimus robot as special. While the update was limited, it represented the clearest AI-related signal for the stock in recent months.
Musk’s comments did not address broader investor concerns that have affected Tesla’s shares. The stock remains down about 16% for the year and has fallen around 13% since the company reported fourth-quarter earnings in January. At that time, management announced a capital spending plan of up to $25 billion, nearly three times the approximately $9 billion spent in 2025, to accelerate work on its robotaxi and humanoid robotics programs. These product lines are not currently delivering significant revenue or profit.
Progress on both projects has been slower than initially expected. Tesla’s robotaxi service is currently operational in four cities, and management aims to expand to additional locations by year-end. The unveiling of Optimus 3, originally anticipated in the first quarter, was delayed because Musk indicated a public demonstration could allow competitors to study and possibly replicate Tesla’s advancements before production. Production of Optimus at Tesla’s Fremont, California, factory is expected to begin later this year, with larger volumes planned for 2027.
Expansion of the robotaxi service is seen as the most likely near-term development for the stock. If Tesla enters larger markets such as Florida, Dallas, and Houston, it could demonstrate progress in the autonomous vehicle program and highlight the commercial potential of its AI initiatives.
