**Tesla to Repurpose Factory for Optimus Robot Production**
Tesla is shifting its focus from electric vehicles to robotics by repurposing its Fremont, California factory for the production of the Optimus humanoid robot. CEO Elon Musk announced that the transition will involve winding down Model S and X vehicle production, with initial Optimus robots expected to begin manufacturing by the end of 2023. This pivot aims to enhance efficiency across various sectors, including factories and households.
Musk’s vision likens Optimus’ potential impact to that of the iPhone for Apple, suggesting it could redefine Tesla’s business model. While the company’s electric vehicle segment has faced deceleration, the optimism surrounding AI innovations continues to drive investor interest, underscoring an emerging narrative that could bolster company valuation in years to come.
