Tesla CEO Elon Musk, speaking on 28 January during the auto major’s Q4 earnings call, announced that the electric vehicle (EV) maker is ending production of Model S and Model X. Calling the move an “honorable discharge”, he asked fans of the models to place orders before stocks run out, CNBC reported.
During the call, the world’s richest man said Tesla will repurpose its Fremont factory in California, United States, to build the company’s humanoid robots, Optimus, instead.
“It’s time to basically bring the Model S and X programs to an end with an honorable discharge. If you’re interested in buying a Model S and X, now would be the time to order it,” the billionaire stated.
Tesla’s Optimus humanoid robots gaining company focus?
Notably, the CNBC report said that Tesla is turning its focus to driverless cars and humanoid robots in the future — both areas have virtually no business or profits at present. The company envisions Optimus taking space in homes and factories alike and plans to unveil the third-generation design “meant for mass production” in this quarter, it added.
Speaking about plans for Optimus on the earnings call, Musk said that Tesla will replace the Model S and X production lines with Optimus and aim for a “1 million unit per year line” of units.
“Because it is a completely new supply chain, there’s really nothing from the existing supply chain that exists in Optimus. We will boost headcount at the Fremont facility, and will significantly increase output,” he added.
