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Tesla to End Model S and X Production, Convert Fremont Factory for Optimus Robots
Elon Musk announces major shift in Tesla's manufacturing focus
Jan. 28, 2026 at 5:23pm
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Tesla CEO Elon Musk announced that the company will be ending production of its flagship Model S and Model X vehicles and instead convert its Fremont, California factory to manufacture the Optimus humanoid robot.
Why it matters
This marks a significant strategic shift for Tesla, moving away from its core electric vehicle business to focus on the development and production of advanced robotics technology. The decision reflects Musk's long-standing interest in artificial intelligence and his belief that humanoid robots will be a major part of Tesla's future.
The details
Musk stated that Tesla will be phasing out production of the Model S and Model X over the coming months in order to dedicate the Fremont facility entirely to Optimus robot manufacturing. The company will continue to service and support existing Model S and X vehicles, but no new units will be produced.
- Musk announced the production changes on Wednesday, January 28, 2026.
The players
Elon Musk
CEO of Tesla, who announced the company's shift in manufacturing focus.
Tesla
An American electric vehicle and clean energy company that is now pivoting to humanoid robot production.
Optimus
Tesla's humanoid robot that will be the focus of the company's new manufacturing efforts at the Fremont facility.
What they’re saying
“We must focus all of our efforts on Optimus. The future is in robotics, not just electric cars.”
— Elon Musk, CEO, Tesla
What’s next
Tesla has not provided a specific timeline for when Optimus production will begin at the Fremont factory, but Musk has stated that it will be a major priority for the company going forward.
The takeaway
Tesla's shift away from its flagship electric vehicles to concentrate on humanoid robot development signals a major strategic pivot for the company, reflecting Musk's long-term vision for the future of automation and AI-powered technology.
