Monday, October 27, 2025

Tesla Stops Optimus Production Due to Persistent Hardware Issues

Tesla (Nasdaq: TSLA) has halted production of its Optimus humanoid robot after persistent hardware failures derailed CEO Elon Musk’s plan to build thousands of units this year, according to AInvest.

The carmaker halted parts procurement roughly two weeks ago after engineers identified critical technical issue, including overheating joint motors, limited battery life, and transmission component failures, supply chain sources told AInvest.

The Information later corroborated the report and said that the company expects design revisions to take approximately two months.

Milan Kovac’s departure from Tesla preceded the production halt. Kovac, the recently promoted senior vice president who led the Optimus program — also a nine-year Tesla veteran who previously headed the company’s Autopilot software development — left last month, citing family reasons. 

Tesla has since assigned Ashok Elluswamy, the company’s AI software vice president, to lead the program.

Musk had set a goal to produce 5,000 to 10,000 Optimus robots in 2025, positioning the humanoid robot as a cornerstone of Tesla’s future growth. The CEO has claimed the robot could generate $10 trillion in annual revenue and transform Tesla into a $25 trillion company.

Related: Elon Musk Finally Debuts ‘Optimus’ Humanoid Robot — But Will He Deliver?

However, Tesla’s current Optimus units at company facilities perform below expectations. Tesla currently restricts the robots to moving batteries in workshop settings, where they achieve productivity that significantly lags behind human workers, according to reports.

Tesla had acquired enough parts for more than 1,000 robots and assembled nearly 1,000 units by May, but the production pause makes the year-end delivery target increasingly unlikely.

The latest generation features improved articulated hands with 22 degrees of freedom, but the robots still require human assistance for complex tasks, mirroring challenges that Tesla’s self-driving vehicle technology faces.

Tesla’s humanoid robot program competes with companies including Boston Dynamics, Figure, and China’s Unitree, which has already begun selling humanoid robots commercially.



Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Silver’s Finally Breaking the System | Keith Neumeyer – First Majestic

The Best News for Gold Was the Drop! – Peter Grandich

McEwen Copper: The Los Azules Feasibility Study

Recommended

Goliath Resources Drills 10.72 g/t Gold Over 7.83 Metres At Surebet

Steadright Enters MOU To Acquire Historic Goundafa Polymetallic Mine In Morocco

Related News

Teslagate: 100GB Tesla Files Leaked To Media By Disgruntled Ex-Employee, Showed Thousands Of Autopilot Complaints

Struggling with Autopilot, employees’ and customers’ private information, and trade secrets–these are some of the...

Friday, May 26, 2023, 11:29:00 AM

Tesla Receives Warning from Chinese Regulators Over its Quality Control Issues

Despite Tesla’s history in China being riddled with scandals, including forced recalls, constant price cuts,...

Tuesday, February 9, 2021, 11:51:00 AM

Whoopsies: Someone Summoned Their Tesla And It Hit A Vision Jet

At a Cirrus event on Friday, someone attempted to use the self-driving “Summon” feature of...

Sunday, April 24, 2022, 01:08:00 PM

Tesla Faces Fatal Crash Lawsuit as Robotaxi Service Launches

The family of a South Korean lawyer killed in a 2020 Tesla (Nasdaq: TSLA) crash...

Tuesday, June 24, 2025, 05:21:00 PM

Tesla Investors Campaign Against Former CTO’s Election To The Board

A group of funds led by SOC Investment Group registered on Monday its dissent on...

Monday, April 24, 2023, 11:32:42 AM