Tesla is ending production of the Model S and Model X vehicles and will instead use the plant that makes them to build robots.
Elon Musk broke the news to investors during Tesla’s earnings call this week, USA Today reported.
The Fremont, California, factory that makes the Model S luxury sedan and the Model X luxury SUV will be converted into a factory for the Optimus robot. He hopes to produce 1 million robots a year, CNBC reported.
“It’s time to basically bring the Model S and X programs to an end with an honorable discharge,” he said. makes
The car production will end in the next several months, sometime in the second quarter, Car and Driver reported.
The Model S was launched in 2012 and currently starts at $95,000, while the Model X rolled out in 2015 and starts at $100,000, CNBC reported.
The Model 3 and Model Y are the company’s most popular cars with about 97% of 1.59 million deliveries in 2025. The Model 3 starts at $37,000 and the Y is about $40,000.
The other news that came out of the earnings call was that Tesla had its first revenue decline on record, CNBC reported.
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