Tesla's Optimus Robot: A Giant Leap Toward Automation

Tesla has made significant strides in its robotics division, with the latest update on the Optimus humanoid robot demonstrating major improvements. A new video shared by CEO Elon Musk showcases Optimus walking with a smoother, more humanlike gait. This comes as Tesla gears up to manufacture its first “legion” of humanoid robots in 2025. The development signals a strong push toward automation, with Tesla aiming to produce thousands of these advanced robots.

Beyond robotics,

Tesla’s Optimus Robot: Advancing Toward Mass Production

A More Humanlike Walk

Tesla’s new video update, shared on Musk’s social media platform X, highlights Optimus’ refined walking ability. The robot now moves with straight knees, a smoother heel-to-toe gait, and natural arm swings. According to Tesla’s Vice President of Optimus, Milan Kovac, this latest progress was achieved entirely through reinforcement learning (RL) simulations.

Steady Progress Since 2021

First introduced during Tesla’s AI Day in 2021, Optimus has evolved rapidly. Initially, the project started with just a concept model and a person in a suit mimicking robotic movements. Fast forward to today, Optimus is fully functional, with its hands alone expected to have 22 degrees of freedom.

Tesla has wasted no time ramping up production. During the Q1 2025 All-Hands meeting, Musk revealed that the company has already built its first Optimus robot on the dedicated production line at the Fremont Factory. The goal is to manufacture 5,000 units this year, with an internal target of up to 12,000 robots.

“Even 5,000 robots—that’s the size of a Roman legion, FYI,” Musk noted, emphasizing the ambitious scale of Tesla’s robotics endeavor.

Tesla’s Q1 2025 Performance: A Mixed Bag

Tesla’s Q1 2025 vehicle delivery report fell short of Wall Street expectations. The company delivered 336,681 vehicles, missing estimates of 352,000. Analyst Dan Ives from Wedbush called it “a disaster on every metric.” Tesla cited several weeks of lost production due to ramping up the new Model Y across all its factories as a key reason for the underperformance.

Musk’s increasing political involvement has also raised concerns among investors. A recent Politico report suggested Musk and former President Donald Trump discussed his potential departure from the Department of Government Efficiency (DOGE), a move that briefly boosted Tesla’s stock.

However, Tesla remains optimistic about its future, especially with the rollout of its autonomous vehicle technology. Ives highlighted that Tesla’s leadership in self-driving technology could be worth $1 trillion in valuation.

Tesla’s Expansion in China

Tesla China rebounded strongly in March 2025, selling 78,828 vehicles—a 156.87% increase from February. However, the Q1 total of 172,754 vehicles marked a 21.79% decline compared to Q1 2024. The of the new Model Y was the primary reason for the temporary slowdown, but Tesla remains confident about its long-term growth in China.

What Undercode Says: A Deep Dive into Tesla’s Strategy

Tesla’s push into robotics is a game-changer. Optimus could become a major asset in labor-intensive industries, replacing human workers in repetitive, dangerous, or physically demanding tasks. The move toward humanoid automation aligns with Musk’s broader vision of artificial general intelligence (AGI) playing a crucial role in the workforce.

However, Tesla faces significant hurdles before Optimus reaches mainstream adoption:

Manufacturing Scale: Producing thousands of Optimus robots annually requires Tesla to refine production efficiencies, just as it has done with EVs.
Functionality & Use Cases: While walking is an impressive milestone, real-world applications demand advanced dexterity, AI-powered decision-making, and seamless integration into various industries.
Market Adoption: Businesses will need to be convinced that Optimus can provide cost-effective labor solutions without introducing unforeseen challenges.

Tesla’s Vehicle Challenges and Strategic Response

Tesla’s struggles in Q1 2025 are undeniable, but they reflect broader challenges in the EV market rather than fundamental flaws in the company itself. Musk’s involvement in political affairs has certainly caused turbulence, yet Tesla remains at the forefront of technological disruption.

Looking ahead, Tesla has three key strategies to regain investor confidence:

Strengthening Vehicle Sales: Tesla must ramp up Model Y production efficiently while ensuring that future models meet consumer expectations.
Expanding Autonomy: Full Self-Driving (FSD) remains one of Tesla’s most valuable assets. If the technology reaches full unsupervised capability, it could redefine personal and commercial transportation.
Diversifying Revenue Streams: With Optimus, Tesla is venturing beyond EVs. If successful, the robotics division could contribute significantly to Tesla’s valuation in the coming years.

The Role of Musk in Tesla’s Future

Musk is undeniably Tesla’s greatest asset and, at times, its biggest liability. His vision has propelled the company to the top of the EV and AI industries, yet his external commitments—whether political or otherwise—can be a distraction. Investors have made it clear: they want Musk to focus on Tesla’s core mission.

If Musk successfully balances his leadership, Tesla is well-positioned for a strong future. Between autonomous driving, humanoid robotics, and energy solutions, Tesla has multiple pathways to growth that extend beyond the traditional automotive market.

Fact Checker Results

Optimus Progress: The improvements in Tesla’s Optimus humanoid robot have been verified through multiple sources, including Tesla’s official X posts and comments from key executives.
Q1 2025 Delivery Performance: Tesla’s lower-than-expected delivery numbers are confirmed by its official earnings report and analysis from industry experts.
Musk’s Political Involvement Impacting Tesla: Market reactions and stock fluctuations indicate that investors are closely watching Musk’s decisions regarding DOGE and Tesla.

Tesla’s ambitious journey continues, with both challenges and opportunities ahead. Whether it’s in robotics, EVs, or AI, the company remains at the cutting edge of technological disruption.