CNN

By Hadas Gold, CNN

(CNN) — Tesla dominated the electric vehicle industry by the mid-2010s with sleek, fast cars that helped combat the public perception that EVs were severely limited by short ranges.

Now the company – and its controversial CEO, Elon Musk – face stiffer competition and political headwinds. Its EV sales fell by a record 9% in 2025, amid increasing rivalry from China and the expiration of the US EV sales tax credit.

But Musk has been steering the company toward an audacious bet. He believes Tesla’s future won’t ride on cars but on humanoid robots.

On Tesla’s earnings call on Wednesday, Musk laid out a literal replacement of Tesla cars by robots – announcing Tesla would discontinue the Model S and Model X in favor of making more of its Optimus robots.

“We’re gonna take the Model S and X production space in our Fremont factory and convert that into an Optimus factory … with the long-term goal of having 1 million units a year of Optimus robots in the current SX space in Fremont,” he said.

It’s the quintessential, science-fiction dream of the future: Musk says Tesla’s Optimus robots will do everything from cleaning your house to performing surgery.

He’s called Optimus the key to eliminating world poverty, making human work optional and reaching Mars. And he claims they’ll be on sale by the end of 2027.

“Every human on earth is going to have their own personal R2-D2, C3PO,” Musk said in November, referring to the personal robots from Star Wars. “But actually, Optimus will be better than that.”

But critics say these are fever-dream distractions from Tesla’s core automotive business. And plenty of companies, like Boston Dynamics and Figure, are already deep into the humanoid robot business.

Musk’s own success and pay are directly at stake. Tesla must deliver one million Optimus robots within 10 years for Musk to fully realize an almost $1 trillion Tesla pay plan approved by shareholders late last year.

“Elon is a big thinker, and he wants to be pushing the edge of people’s imagination,” a former Tesla senior engineer told CNN in an interview.

But the EV and robot markets are very different, the engineer said. “With electric vehicles, Tesla was really the only one working on this hard problem. There’s a lot of companies now and tons of competition.”

‘Infinite money glitch’

Tesla first unveiled its humanoid robot project at a 2021 event, where a silvery figure danced to thumping techno music on a stage. It was an actor in a robot suit, complete with a face that looked like a screen. “Obviously, that’s not real,” Musk said as the costumed figure left the stage.

Just months later, in January 2022, Musk said he thought Optimus could be “more significant than the vehicle business” for Tesla over time.

The post Don’t Turn Away appeared first on The Santa Barbara Independent.

By Jordan D. Brown, CNN

Welcome to 5 Things PM! Everyone needs a quick reset to survive the afternoon slump. Starbucks thinks it’s found the perfect pick‑me‑up.

Here’s what else you might have missed during your busy day.

5 things

1⃣ Massive spread

The measles outbreak in South Carolina is now the largest in the US since the disease was declared eliminated more than two decades ago. The state has seen more than 600 cases in 2026 alone.

2⃣ ‘Tragic lack of humanity’

A Texas man detained by ICE was the sole caregiver of his disabled son. Now their family is preparing to bury his son without him after officials denied a temporary release for the funeral.

3⃣ Cuba’s future after Maduro

Oil-rich Venezuela has been Cuba’s economic lifeline for nearly 30 years. That relationship has been upended after the US capture of Venezuela’s leader. CNN Havana Bureau Chief Patrick Oppmann explains what could come next for Cuba.

4⃣ Compassion through the sorrow

It’s been a year since the DC midair collision that killed 67 people. Families of the victims are honoring the first responders and medical teams they consider heroes during an unbearably difficult time.

5⃣ Extraordinary burial chamber

Archaeologists have discovered a 1,400-year-old tomb in southern Mexico with symbolic sculptures. See the complex carvings adorning the “most significant archaeological discovery of the last decade.”

Watch this

Hate crime investigation: Officials say security has been increased at religious sites across New York City after a suspect repeatedly rammed a car into a well‑known Jewish building in Brooklyn.

Top headlines

• Senate blocks massive funding bill, with critical talks underway to avoid government shutdown
• Former Illinois deputy is sentenced to 20 years in prison for killing Sonya Massey
• Man arrested on charges of impersonating FBI agent in alleged attempt to free Luigi Mangione

Check this out

Back in style? Furs have come roaring back, despite continued industry bans and restrictions. Consumers are doing their best to feel warm and fuzzy about it.

Quiz time

Which group of people did Neil You