Robotics

Elon Musk announced Tesla may build its own “gigantic” chip fabrication plant (“Tesla terra fab”) to meet growing AI and robotics demands. Currently relying on TSMC and Samsung, Tesla could also partner with Intel. Musk envisions a capacity of 100,000 wafer starts per month, scaling to 1 million, potentially disrupting the semiconductor landscape. This signifies a major shift to vertical integration. Musk also announced the production of Cybercab in April, reinforcing Tesla’s commitment to AI and robotics as drivers of economic growth.

Tesla shareholders will vote on a massive compensation package for CEO Elon Musk, potentially worth nearly $1 trillion in stock over the next decade. The board argues Musk’s leadership is crucial for Tesla’s future, particularly in robotics and AI. Some investors oppose the plan, citing its size, dilution concerns, and Musk’s other ventures, particularly growing political engagement. The vote follows a court ruling invalidating Musk’s previous pay plan. The new plan contains ambitious targets related to market cap, vehicle deliveries, and earnings.

Morgan Stanley projects Amazon’s aggressive warehouse robotics expansion could generate $2-4 billion in annual savings by 2027. Amazon plans to add roughly 40 advanced robotics warehouses by 2027, aiming to automate 75% of operations. Analyst Brian Nowak cites GenAI advancements in retail, particularly robotics-driven efficiencies, as undervalued by the market. Amazon CEO Andy Jassy reports existing robotic deployments have already reduced fulfillment costs, suggesting potential for even greater savings. This automation could also significantly reduce future labor needs.

Amazon has unveiled Blue Jay, a robotic system automating warehouse tasks by consolidating picking, sorting, and consolidating into a single, space-efficient workflow. Currently being tested, it handles 75% of stored items and aims to alleviate strenuous work for employees. Amidst automation efforts, Amazon faces scrutiny regarding potential job displacement, though they maintain it will lead to more rewarding roles and are offering mechatronics apprenticeships. They also introduced AR glasses for delivery drivers, enhancing safety and efficiency with visual and audio alerts.

Qualcomm is acquiring Arduino to strengthen its position in the robotics market. This acquisition aims to provide Qualcomm with access to grassroots innovators and establish its chips as the preferred solution for robotics development, fostering brand loyalty from prototype to commercialization. The deal is part of Qualcomm’s strategy to diversify revenue beyond mobile chips and capitalize on the growing robotics sector, aligning with previous acquisitions like Foundries.io and Edge Impulse. The first collaborative product, Arduino Uno Q, features a Qualcomm Dragonwing processor capable of running Linux and Arduino software, enhancing computer vision capabilities. Qualcomm commits to maintaining Arduino’s existing ecosystem.

Beewise is tackling the bee population crisis with its AI-powered BeeHome. This robotic beehive monitors bee behavior using cameras and AI software, autonomously addressing their needs like providing food, medicine, and temperature regulation. It protects them from harsh weather events, resulting in a 70% reduction in colony loss. The BeeHome offers potential labor cost savings and scalability, attracting significant investment to secure the future of food production.

Humanoid robots, driven by AI and robotics advancements, are generating excitement, with some suggesting a “ChatGPT moment” is imminent. Companies like Tesla and emerging Chinese startups are developing robots for manufacturing, logistics, and other sectors. While experts anticipate significant global economic impact, widespread adoption faces technological, manufacturing, and regulatory hurdles. Ethical considerations and clear operational guidelines are also critical. Analysts predict increasing robot shipments, but a gradual integration into various sectors is expected.

Unitree Robotics, a Chinese humanoid robot company, is preparing for a $7 billion IPO to solidify its global position. The company is already profitable, with revenue exceeding $140 million, and has attracted investment from major tech players. Unitree’s IPO aligns with China’s strategy to lead in AI and robotics, supported by favorable government policies. While other players like Agibot and Tesla compete, Unitree currently has a commercialization advantage with competitive pricing. Global humanoid robot shipments are expected to rise significantly, indicating vast market potential.

Geekplus (2590.HK) announced strong unaudited interim results for H1 2025, with revenue up 31.0% year-over-year to RMB 1.025 billion. Gross profit increased 43.1%, resulting in a gross margin of 35.1%. Adjusted net loss narrowed significantly, and adjusted EBITDA turned positive. New orders rose 30.1% to RMB 1.760 billion. Revenue from outside Mainland China accounted for 79.5% of the total. Geekplus remains the world’s largest warehouse fulfillment robotics solution provider and will focus on embodied intelligence R&D, global expansion, ESG, and talent development.

Tesla CEO Elon Musk predicts the company’s Optimus robots will drive 80% of its future value, potentially reaching a $25 trillion valuation. Facing challenges with EV competition and public perception, Musk aims to shift focus to AI-powered robotaxis and humanoid robots. While Tesla is on track to produce 5,000 Optimus robots in 2025 and deploy them in factories, it trails competitors like Waymo, Unitree and Boston Dynamics in both robotaxi and humanoid robot markets. A recent leadership change in Tesla’s robotics division adds further complexity. Optimus is envisioned as a versatile robot for various tasks.