AI 2.0: The Revolutionary Shift Towards Humanoid Robotics
Editor’s note: “Why the AI Revolution’s Next Wave Could Unlock Staggering Profits” was previously published in March 2025 with the title, “Humanoid Robots: Betting on the Next Big AI Breakthrough.” It has since been updated to include the most relevant information available.
Every few decades, transformative technologies emerge: electricity, the internet, and smartphones. Today, we are witnessing the rapid rise of artificial intelligence (AI) and its global impact.
Once a controversial perspective, the significance of AI is now broadly accepted. It is reshaping how we work, create, and communicate. However, many fail to grasp that we are only at the start of this transformation.
The AI Revolution has unfolded through innovations like ChatGPT, Nvidia’s advancements in chip technology, and the establishment of expansive cloud computing facilities. Yet, this phase is already evolving.
The forthcoming wave of AI? It is fundamentally physical. Welcome to AI 2.0, where intelligent machines are not confined to screens or data centers but walk among us.
Record-Breaking Gains: Analyzing AI 1.0
Initially, the first wave of AI has generated impressive returns for investors. Since late 2022, key players have experienced remarkable growth:
- Nvidia (Stock-ticker”>NVDA) has witnessed an increase of more than 650% due to high demand for its AI chips.
- AppLovin (Stock-ticker”>APP) has surged by more than 2,500% as its AI-driven advertising platform revolutionized mobile gaming.
- Palantir (Stock-ticker”>PLTR) is experiencing continued demand from government and enterprise sectors, with shares climbing by over 1,200%.
These success stories stem from AI 1.0, which primarily revolves around algorithms that analyze data, predict trends, generate content, and optimize advertisements. While these developments are exciting and profitable, the market is already crowded.
Investors continue to focus on models, chips, and cloud infrastructures, but these elements represent where AI was.
The Emergence of Humanoid Robots
The true innovation now lies in realizing artificial intelligence in a tangible form: humanoid robots.
These advanced machines can see, hear, talk, and move. They are capable of stocking shelves, assembling products, cleaning homes, carrying groceries, and even caring for pets.
What was once viewed as science fiction is rapidly becoming reality. Major tech companies, not just fringe developers, are investing heavily in creating this future.
For instance, consider Elon Musk, the world’s richest individual. Through Tesla (Stock-ticker”>TSLA), he has rolled out a humanoid robot called Optimus. This is not a mere prototype; Optimus is already operational in Tesla factories, performing basic tasks and quickly adapting.
Musk has stated that Tesla plans to produce thousands of Optimus units this year for internal use, with a rollout to external businesses slated for next year, ultimately reaching consumers.
Imagine a personal assistant capable of handling mundane chores. Musk envisions this future, asserting:
“Optimus will represent the overwhelming majority of Tesla’s value… It has the potential to generate over $10 trillion in revenue.”
Investors take note when such substantial projections are made.
Big Tech’s Investment in Robotics
The broader tech landscape is also recognizing the potential of robotics:
- Meta (Stock-ticker”>META) has created a new division dedicated to humanoid technology, focusing on developing the software frameworks that will drive these robots, potentially akin to mobile operating systems.
- Apple (Stock-ticker”>AAPL) is reportedly in the early stages of designing its own robotic systems, with speculation about products ranging from smart home devices to fully functional humanoids.
- Alphabet (Stock-ticker”>GOOGL) is equally invested in developing robotic applications.
Big Tech’s Investment in Humanoid Robotics Marks AI Evolution
- Apptronik has gained funding as a pioneering startup developing humanoid machines for logistics and manufacturing.
- Nvidia introduced Project Cosmos, a suite of AI models aimed at enhancing humanoid robots’ ability to navigate real-world tasks, such as spatial awareness and motion prediction.
- Microsoft (Stock-ticker”>MSFT) has teamed up with Sanctuary AI, a Canadian firm focused on creating general-purpose humanoid robots capable of human-like intellect and tasks.
- OpenAI, the organization behind ChatGPT, is reportedly investigating the development of its own humanoid systems to extend its language models into the physical realm.
This coordinated movement from tech giants indicates a substantial shift. As these leaders turn away from traditional roles involving chatbots, data storage, and software code, they are now venturing into the domain of embodied intelligence.
This transformation suggests a significant opportunity for investors: the next trillion-dollar AI stocks will likely emerge from robot manufacturers, software developers, and companies building infrastructure that supports AI 2.0.
Identifying a Major Investment Opportunity
This situation could represent a generational investment chance, similar to what was witnessed in the early 2000s.
During that era, excitement centered around the internet, and investors flocked to purchase Cisco (Stock-ticker”>CSCO) routers and dial-up services.
However, the true winners from the dot-com boom were those firms that embedded the internet into everyday life, including Amazon, Google, and Apple.
Today, excitement surrounding AI is palpable, with many investing in Nvidia, Microsoft, and OpenAI based primarily on hype.
Yet, it is likely that future successes will belong to those who successfully integrate AI into the physical environment, bridging the divide between digital capabilities and physical actions.
This is not merely a projection; it is unfolding in real-time.
So, what should investors be looking for?
This remains the challenging question.
We suggest focusing on companies that are:
- Developing humanoid robots or related robotic components
- Creating operating systems for physical AI applications
- Designing training models for real-world physical interactions
- Providing essential sensors, arms, joints, and AI cores for these robots
Final Insights on AI 2.0 and Humanoid Robotics
The opportunities presented here are only beginning to emerge.
This phase of AI robotics can be likened to the early days of dial-up internet. Yet, the potential for growth may rival or even exceed the smartphone revolution.
AI 2.0 extends beyond improving chatbots or spreadsheets.
It aims to integrate intelligence into homes, factories, and public spaces, enabling machines to see, think, and move effectively—creating revenue-generating opportunities for the companies that drive this progress.
Investment prospects in this area are immense; they could be once-in-a-generation.
Thus, it’s important to consider not only AI as we know it but also the future of AI 2.0 and its potential for real-world disruption.
While attention is often fixed on current AI achievements, savvy investors are already pivoting towards future developments.
Explore some of our top recommendations for AI 2.0 investments today.
On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article.
P.S. Stay informed on Luke’s insights by following his Daily Notes! Visit the latest issue on your Innovation Investor or Early Stage Investor subscriber site.
