During the earnings call following its financial on Wednesday, Tesla's CEO Elon Musk dropped a real bomb. He said that it's time to put the Model S and Model X vehicles to rest. Now it's not that huge of a change, given that 97% of Tesla's sales consist of Model 3 and Model Y cars, but the Model S is still the original car delivered by Tesla.
What no one also expected, is that Elon Musk plans to replace the Model S and X production lines at the Fremont factory with lines for the Optimus humanoid robot. The robot is touted as an everyday assistant that can do pretty much everything from factory production to housework and even babysitting.
The plan is to bring production up to 1 million Optimus robots a year, and Elon Musk predicts that it would boost headcount at the Fremont facility.
Notably, 2025 was the first year of revenue decline for Tesla, and we are not shifting its focus to robots is the way to stay ahead of the competition.
Anyway, in case you have your eye on a Model S or X, now is the time to act. The Model S starts at $95,000 in the US, while the Model X starts at $100,000. In Europe, prices are around €110,000 and €115,000, respectively.
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