Elon Musk Shutting Down Tesla Car Factory to Manufacture Robots Instead
Victor Tangermann
created: Jan. 29, 2026, 3:58 p.m. | updated: Feb. 8, 2026, 3:51 p.m.
Tesla CEO Elon Musk has made good on his threats to steer his EV maker away from his core business to focus instead on AI and its humanoid robot, Optimus.
“We expect to wind down S and X production next quarter and basically stop production,” Musk explained.
In other words, the Model S and X were already dead in the water.
But given the continued, unwavering support from investors, Musk and Tesla will likely be given plenty of leeway as the company continues to pull away from its core business.
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