Tesla has begun manufacturing its Optimus humanoid robots on production lines in Fremont, California, marking a key step toward commercial deployment. CEO Elon Musk now aims to scale output to 20,000 robots per week by the end of 2027.
The factory previously built electric vehicles, but Tesla has repurposed the manufacturing space for its robotics ambitions. The initial production run marks the first time Tesla has manufactured Optimus units to production standards. However, reaching mass production will require further engineering work and improvements to manufacturing efficiency.
Tesla disclosed the milestone in its third-quarter 2026 shareholder update. Musk cautioned investors that production would ramp up slowly because Optimus represents an entirely new product category for the company.
Tesla tackles robot manufacturing
Tesla has established a manufacturing process that it considers suitable for a commercial Optimus product. The company still expects to refine its production methods and robot hardware as manufacturing expands.
Musk described the current phase as early production during Tesla’s earnings call. He warned that scaling output would involve setbacks as engineers address the challenges of building humanoid robots at industrial volumes.
Q3 Shareholder Update → https://t.co/sXBSeLiJIj
— Tesla (@Tesla) October 21, 2026
Highlights
– FSD Supervised attach rate grew to over 75% of new vehicle deliveries in NA
– Unveiled the next-gen Roadster
– Record deliveries in Canada, Australia, Japan & Taiwan
– Tesla Semi now in volume production. Top… pic.twitter.com/yQQRq9LwSd
Reliability remains a major hurdle. Tesla wants Optimus to operate safely over extended periods without frequent repairs or component failures. Musk acknowledged that engineers still need to refine the robot’s design to meet those requirements.
Software also presents a significant challenge. Tesla must develop the capabilities that allow Optimus to handle unfamiliar tasks reliably. Musk said considerable work remains before the robot can perform a broad range of activities independently.
The planned production rate of 20,000 units per week would represent an ambitious manufacturing target. Achieving that volume would require Tesla to establish a supply chain and production system capable of supporting sustained output.
Computing capacity supports robotics
Tesla is also expanding its computing infrastructure to support autonomous driving and humanoid robot development. The company plans to reach 400 megawatts of training computing capacity by the end of 2026.
That infrastructure will support software development for both its vehicles and Optimus robots. Tesla has also continued construction of its Austin fabrication facility, where equipment commissioning should begin in 2027.
The computing expansion reflects the substantial processing demands involved in developing autonomous machines. Optimus needs to interpret its surroundings, plan movements, and execute tasks in changing environments.
Tesla has yet to establish when Optimus will become commercially available at scale. Its production progress marks an important manufacturing milestone, but the robot’s practical capabilities remain a work in progress.
Battery supply bottleneck
Tesla’s manufacturing ambitions extend beyond robotics. The automaker identified battery availability as a continuing constraint on its ability to increase global vehicle production.
To address supply limitations, Tesla is expanding battery-related operations across several locations. Projects include battery pack capacity in Berlin, cathode material production and lithium refining in Texas, and lithium iron phosphate cell manufacturing in Nevada.
Tesla has already shipped its first Megapack energy storage systems built exclusively with its own LFP cells. The milestone gives the company greater control over a key battery technology used in its energy storage business.
Production of Tesla’s 4680 battery cells is also increasing. Those cells will support production ramps for the Cybertruck and Tesla Semi, alongside higher Model Y volumes.
The robotics push arrives as Tesla faces pressure in its core automotive business. Third-quarter revenue reached $28.04 billion, nearly unchanged from $28.09 billion a year earlier. Profit fell 43% as expenses increased amid investments in robotics, computing infrastructure and autonomous driving.
Tesla’s ability to turn Optimus into a reliable commercial product will depend on more than factory output. Manufacturing scale, battery availability, and software development must advance together before the robots can deliver on Musk’s ambitious production targets.