Musk Claims Tesla's Optimus 3 Robot Will ‘Move the Needle' on US GDP

Core Viewpoint - Tesla's CEO Elon Musk claims that the Optimus 3 humanoid robot will significantly impact US GDP, supported by a $20 billion investment in robotics and autonomous vehicles [1] Group 1: Financial Commitments and Performance - Tesla is committing $20 billion to robotics, which represents 21% of its annual revenue [1] - The company reported a 61% decline in Q4 2025 profit, with net income dropping to $840 million [1] - Tesla's cash reserves increased by 173% year-over-year, reaching $44.1 billion, providing a financial buffer for its robotics initiatives [1] Group 2: Strategic Shifts - Tesla is discontinuing the production of Model S and Model X to repurpose factory space for Optimus production, indicating a shift from traditional automotive manufacturing to a focus on robotics [1] - Musk envisions that Optimus robots will be available for public sale by the end of 2027 and predicts they will become as ubiquitous as smartphones [1] Group 3: Market Sentiment and Valuation Concerns - Retail investor sentiment on Tesla has shifted from bullish to bearish, with a notable decline in Reddit discussions about the stock [1] - Tesla's current trading valuation stands at 293 times earnings, raising questions about whether the Optimus initiative can justify this high valuation amid declining EV market share [1] - Musk acknowledged that early production of Optimus will be "agonizingly slow," reflecting a history of missed timelines on previous projects [1]