Tesla is pushing ahead with construction of a dedicated factory for its Optimus humanoid robot at the company's Texas Gigafactory, according to a report from Chinese automotive outlet PCauto. Recent drone footage from overseas blogger Joe Tegtmeyer shows the steel structure of the plant is about 40% complete, with construction proceeding in parallel zones—some areas have already poured upper floor slabs while others remain in foundation work. The 40% figure refers only to the steel frame, not the entire plant, as piping, cladding and production line installation are still pending.
The facility, covering about 5.2 million square feet, is planned as the production base for second- and fourth-generation Optimus robots, with mass production targeted for summer 2027 and a long-term annual capacity goal of 10 million units. This dedicated plant is part of Tesla's strategy to build a third growth pillar beyond electric vehicles and energy storage, leveraging its expertise in vertical manufacturing and AI algorithms from the automotive sector.
Two-phase production strategy
Tesla is employing a two-phase approach: first converting existing production lines, then building new dedicated facilities. The Fremont factory in California, which previously produced Model S and Model X, has been repurposed for initial Optimus production. The line switch was completed this summer, and third-generation (Gen3) robots have begun trial production. This converted line has a design capacity of 1 million units per year, far exceeding the annual new installations of industrial robots globally in recent years.
According to internal ramp-up plans, Tesla aims to produce 50,000 to 100,000 Optimus units in 2026, with these robots initially deployed in Tesla's own factories for tasks like material transport, assembly assistance and site inspection. External sales are not expected until 2027.
Cost reduction and AI chip adjustments
The Gen3 Optimus is the first version designed for mass production, capable of fine grasping, plugging and sorting operations, with improved walking capabilities. To meet production demands and reduce costs, Musk recently indicated on social media that Tesla will adjust its self-developed AI chip strategy, lowering the memory specifications for the AI5/AI6 chips.
The target manufacturing cost for an Optimus unit is set below $20,000, which Musk sees as a key threshold for widespread consumer adoption. He has called Optimus one of Tesla's hardest products to scale, but believes that once it becomes widespread, it could "truly eliminate human poverty."
