Tesla axes Model S and X for Optimus robot production: Because nothing screams 'innovation' like ditching cars for bots that might just stand around looking futuristic

Tesla will discontinue its Model S and Model X vehicles in the second quarter of 2026, according to Elon Musk, the company's CEO, during an earnings call with investors. The decision aims to make room at Tesla's Fremont factory for the production of its Optimus humanoid robot. The Model S, a luxury sedan introduced in 2012, and the Model X, an SUV with gull-wing doors launched in 2015, have seen declining sales as the company shifted focus to its mass-market Model 3 and Model Y. In 2025, Tesla sold 50,850 units of its "other models," which includes the Model S, Model X, and Cybertruck. This move marks a significant shift in Tesla's production strategy, prioritizing robotics over its high-end electric vehicles. The discontinuation of these models will allow Tesla to allocate resources to its emerging robotics division, underscoring the company's commitment to innovation and expansion into new markets, with the Fremont factory playing a crucial role in this transition.