Musk Is All In on Robots: Why You Should Be, Too
Editor’s note: “Musk Is All In on Robots: Why You Should Be, Too” was first published in June 2025 with the title “The Robot Elon Musk Thinks Will Be Bigger Than the iPhone.” This article has been updated to provide the most relevant information available today.
Your Second Chance with Tesla
Missed Tesla’s (TSLA) initial breakout? You might be staring directly at your second opportunity. But this time, it’s not another high-end electric vehicle you should focus on; it’s something much more revolutionary.
According to Elon Musk, the world-renowned entrepreneur and CEO, his next big innovation isn’t a car, rocket, or even an AI chatbot. Instead, he’s focusing on a humanoid robot named Optimus, which he believes could surpass the iPhone to become the most valuable product in history.
The Groundbreaking Features of Optimus
What sets Optimus apart? This humanoid robot is powered by the same advanced AI brain and Full Self-Driving (FSD) technology that drives Tesla’s autonomous vehicles. Unlike a traditional vehicle, Optimus is a multifaceted machine capable of walking, talking, lifting, carrying, assembling, cooking, and cleaning. Most notably, it can learn.
Optimus isn’t confined to theoretical applications; it’s already operational within Tesla factories, executing lightweight tasks while continuously learning from real-world experiences. Musk has ambitious plans, stating that Tesla will manufacture thousands of these bots this year, intending to sell them to external businesses by 2025 and consumers soon thereafter.
A Visionary Statement from Musk
Elon Musk is thinking big. Recently, during a Wall Street conference call, he asserted:
"Optimus will be the overwhelming majority of Tesla’s value… It has the potential to generate over $10 trillion in revenue."
This is the same man who has already transformed multiple industries with Tesla, SpaceX, and Tesla Energy. Even in light of these monumental successes, Musk asserts that Optimus is his greatest achievement yet.
Peering Into the Future with Optimus
So, why is Musk betting his entire legacy on this robot?
The Winds of Change
Musk perceives a paradigm shift on the horizon. The landscape for humanoid robots is evolving rapidly, making it conceivable for them to occupy pivotal roles in American industry and everyday life much sooner than anticipated.
The rapid evolution of AI is a critical factor. In September 2024, AI models averaged between 80 and 93 IQ points, but today they range from 95 to 130 within just six months. Imagine coupling such cognitive capabilities with a human-like robot, unlocking an era of productivity that requires no sleep, wages, or breaks.
As Musk actively builds this future, it becomes evident why Optimus could be one of the most disruptive products ever introduced.
Optimus: Redefining Labor
Optimus isn’t a gadget; it’s a revolutionary tool capable of reshaping the labor landscape entirely. Imagine this machine executing tasks such as warehouse operations, inventory management, factory assistance, and even elder care.
If deployed on a significant scale, it could challenge and potentially replace human labor across various sectors of the global economy.
The Rise of Humanoid Robots
Let’s face it: Humanoid robots are not just glorified digital assistants like Siri. We are talking about physical results, capable of transforming economies, and revolutionizing labor as we know it.
From steam engines to semiconductors, every major technological advancement has altered the workforce dramatically. Just as machines wiped out traditional hand-weaving during the Industrial Revolution, humanoid robots represent the next wave of technological evolution that may displace millions from their current jobs.
A Historical Lens on Economic Transformation
The implications of humanoid robots will mirror historical shifts in labor. The 20th century introduced assembly lines that redefined work dynamics, enabling mass production. Similarly, recent digital tools have streamlined office roles, replacing countless administrative positions.
Humanoid robots are poised to act as the next major technological leap. Just as tractors revolutionized the agricultural sector, these robots could drastically alter the fabric of the labor market.
Understanding the Economic Paradigm Shift
Every significant labor shift throughout history has resulted in both destruction and reinvention. We must not overlook these fundamental changes.
The Robotics Revolution is approaching, promising to reshuffle the economic landscape in ways we can barely predict.
Tesla: The Front-Runner in Robotics
Among the players in this burgeoning field, Tesla stands out as a front-runner. While the spotlight shines on Musk and his ambitious projects, history demonstrates that colossal savings aren’t solely about investing in high-profile stocks.
Consider the PC boom of the 1990s: Investors largely focused on prominent names like Dell and Apple. Yet, it was lesser-known suppliers that often reaped the most substantial rewards.
- Intel (INTC) surged more than 10,000% from 1986 to 1999.
- Microsoft (MSFT) achieved close to a staggering 97,000% return during that same timeframe.
- Applied Materials (AMAT), responsible for manufacturing the equipment for chip production, saw gains of nearly 19,000%.
Lessons from the Dot-Com Boom
The dot-com boom offers another pertinent example. While everyone was chasing stocks like AOL and Yahoo, significant wealth was generated by infrastructure providers.
- Cisco Systems (CSCO), vital for internet structure, climbed nearly 35,000% from inception to peak.
- Qualcomm (QCOM), enabling wireless infrastructure, also enjoyed a remarkable rise of about 6,000% between 1995 and 2000.
Today, Tesla is steering the robotics industry, continuously pushing boundaries.
The Hidden Potential of Suppliers
While Tesla leads the charge, there are hidden gems within the supply chain that are primed for extraordinary returns. These unnoticed companies may emerge as significant beneficiaries of the robotic revolution.
Investing wisely could yield impressive gains as the market shifts with the introduction of Optimus and similar technologies.
Conclusion
As we stand on the brink of the Robotics Revolution, the potential for transformation looms large. Optimus may not just be another product; it could signify a monumental change in how we view labor, productivity, and even everyday life.
Elon Musk’s vision is bold, but with innovation comes opportunity. The question remains—are you ready to seize it?
