Why is Tesla ending production of Model S and Model X?

Tesla is ending production due to a 46% drop in 2025 net income to $3.8 billion, prompting a shift of capital toward robotics.

What is Tesla's timeline for Optimus robot production and sales?

Tesla aims to begin retooling the Fremont plant in coming months, with Optimus sales starting by the end of 2027.

Will Model 3 and Model Y production continue at the Fremont factory?

Yes, Tesla will continue mass production of the refreshed Model 3 and Model Y at Fremont, which represent the vast majority of the factory's manufacturing activity.

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23d ago

Musk Directs Tesla To End Model S, Model X And Convert Fremont To Robots

Tesla will stop Model S and Model X production and retool Fremont to build Optimus humanoid robots, CEO Elon Musk said on Jan. 28, 2026.

Overview

A summary of the key points of this story verified across multiple sources.

CEO Elon Musk announced on Jan. 28, 2026 that Tesla will end production of the Model S and Model X and retool its Fremont, California factory to produce Optimus humanoid robots.

Tesla reported that 2025 net income fell 46% to $3.8 billion, a decline executives cited as a key factor in shifting capital toward robotics.

Company executives said Tesla plans a $20 billion capital spending program for 2026 to support mass production of Optimus and other investments.

Industry shipment records show Tesla delivered about 150 Optimus units last year while China's leading humanoid maker shipped about 5,500, highlighting a production gap.

Tesla executives said they aim to begin offering Optimus for sale by the end of 2027 and will begin retooling the Fremont plant in coming months.

Written using shared reports from

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Analysis

Compare how each side frames the story — including which facts they emphasize or leave out.

Center-leaning sources frame Tesla's shift as risky and speculative by foregrounding falling car sales, highlighting a $20 billion capex pledge, and contrasting tiny humanoid shipments (150) with China's 5,500. Editorial choices — evaluative terms like 'risky', selection of corporate-capital and IPO context — nudge readers toward skepticism; quoted phrases (e.g., 'futuristic vision') remain source content.

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: Tesla is ending production due to a 46% drop in 2025 net income to $3.8 billion, prompting a shift of capital toward robotics.
Sources:
Assembly Magazine
: Tesla aims to begin retooling the Fremont plant in coming months, with Optimus sales starting by the end of 2027.
Sources:
City of Fremont
: Yes, Tesla will continue mass production of the refreshed Model 3 and Model Y at Fremont, which represent the vast majority of the factory's manufacturing activity.
Sources:
City of Fremont
: Tesla plans a $20 billion capital spending program for 2026 to support mass production of Optimus and other investments.
Sources:
Assembly Magazine
: Tesla delivered about 150 Optimus units last year, while China's leading humanoid maker shipped about 5,500 units.
Sources:
Assembly Magazine

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