Elon Musk to end Model S and Model X as Tesla targets 1 million humanoid robots yearly

Tesla CEO Elon Musk announced a significant strategic shift during a recent investor call, revealing plans to discontinue production of the Model S sedan and Model X SUV, two of the company’s longest-running premium electric vehicles. Production of these models is expected to wind down next quarter, with the Fremont, California factory—currently producing these vehicles—being repurposed to manufacture Tesla’s humanoid Optimus robots. Musk’s long-term vision is to produce up to 1 million robots annually at this facility, signaling a pivot from traditional electric vehicles toward artificial intelligence, robotics, and autonomous systems. The announcement coincided with Tesla’s latest quarterly earnings report, which showed a decline in vehicle sales but stronger-than-expected profits. Despite a 3% year-over-year revenue drop and an 11% decline in automotive revenue, Tesla beat Wall Street expectations with earnings per share of $0.50 and revenue of $24.9 billion. Vehicle deliveries fell 16% in the fourth quarter, particularly in Europe, reflecting