Tesla stars Optimus robot production in California as profit falls 43%
Tesla has begun production of its Optimus humanoid robot at its California factory, even as the company reported a 43% drop in quarterly profits. The decline is attributed to heavy spending on AI and robotics development.
Why it matters
Tesla's pivot toward robotics and AI at the expense of short-term profit illustrates the high-stakes transition from an EV-focused company to an AI-robotics enterprise.
Tesla has started production of its Optimus humanoid robot at its factory in Fremont, California, a manufacturing space once dedicated to making electric vehicles, the company announced Wednesday.
“The bots coming off this line are the first production-quality bots that we have manufactured,” Tesla wrote in its third-quarter letter to shareholders. “While we will continue to iterate on the hardware and manufacturing process, we have proven that the current manufacturing process for Optimus is suitable for a commercial product.”
That fordward-looking development wasn’t enough to lift the company’s otherwise middling third-quarter earnings, results that typify a company at the midpoint of a major bet. Tesla’s revenue was flat and its expenses skyrocketed as it pressed the accelerator on its Optimus robots, AI, and autonomous driving. The end result was a 43% drop in profits.
Headlinne story · 3 newsrooms
United States and Israel Prepare New Military Strikes Against Iran
What every outlet reported, where they differ, and how each framed it →
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in