Charles Esther
Elon Musk recently confirmed that Tesla’s robotaxi service will begin rolling out in June.
He emphasized that the company will take a “prudent” and cautious approach to this new technology.
This announcement came during a media blitz where Musk appeared at several events, including Bloomberg’s Qatar Economic Forum and CNBC interviews.
He reassured that robotaxis will start in limited numbers to ensure safety and reliability before scaling up.
Cautious Rollout for Safety
Musk explained the reasoning behind Tesla’s gradual robotaxi deployment.
He mentioned that Tesla is currently testing robotaxis driving around the clock with drivers onboard, experiencing “essentially no interventions.”
Despite this progress, Musk prefers to start small to avoid risks.
The initial rollout might begin with just 10 robotaxis operating for a week, then slowly increase to 20, 30, and 40 units.
The plan is to reach around 1,000 robotaxis within a few months in Austin, Texas.
Expansion to other cities like Los Angeles and San Antonio would follow once safety is confirmed.
Geo-Fencing and Safety Measures
Tesla will limit robotaxi operations to specific areas within Austin using geo-fencing.
This approach is similar to Alphabet’s Waymo, which restricts autonomous vehicles to pre-approved zones.
Musk stated that the robotaxis will avoid complex intersections unless the system is highly confident, possibly rerouting around difficult spots.
This shows Tesla’s focus on safety and cautious deployment during the early stages.
Optimus Robot Production Ambitions
Musk also revealed Tesla’s ambitious plans for the Optimus humanoid robot.
He expects thousands of Optimus robots to be working in Tesla factories by the end of 2025.
Tesla aims to rapidly scale production, targeting one million units annually by 2030.
Musk predicts the Optimus robot will be the company’s biggest product ever with huge demand worldwide.
The robots will require significant computing power and training, but Tesla is confident breakthroughs will be achieved soon.
Musk’s Broader Robotics Vision
During a brief conversation with Microsoft CEO Satya Nadella, Musk highlighted that all Tesla robotics products must be grounded in reality.
He emphasized that robotaxis need to drive safely, and Optimus must perform tasks reliably.
This practical approach aims to ensure that Tesla’s robotics innovations meet real-world needs.
Investor Response and Timeline Challenges
Despite Musk’s announcements, investor reactions have been modest.
Tesla shares saw only slight increases following the news and remain down overall in 2025.
Musk has a history of optimistic timelines that have sometimes missed targets.
For example, he predicted over one million robotaxis by the end of 2020, which has not yet happened.
Currently, Tesla’s Q1 2025 update indicates pilot production of Optimus is on track, with wider deployment expected across factories this year.
The Future Potential of Tesla Robotics
If Tesla successfully delivers on its robotaxi and Optimus promises, it could transform the company’s future.
Wedbush Securities analyst Dan Ives estimates that 90% of Tesla’s future value lies in its autonomous vehicle software and robotics divisions.
Ives predicts robotaxis could be a game changer, potentially helping Tesla reach a $2 trillion valuation within two years.
This makes Tesla’s cautious but ambitious robotics rollout one of the most closely watched developments in the tech and automotive industries.
