"Robot Also Noticed by Tesla... Expected to Show Short- and Long-Term Growth Trends"

Hana Securities Report

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Myunghwan Lee] As Tesla, the American electric vehicle manufacturer, prepares to unveil its humanoid robot, securities analysts have highlighted the growth potential of the robot theme.

Hana Securities analyzed on the 24th that "robots are both a short-term theme and a very long-term theme." In the short term, growth in Tesla's robot-related industries is expected, while the long-term growth potential of the robot market is also anticipated.

Tesla plans to unveil a prototype of the 'Optimus' project, a humanoid general-purpose robot that walks on two legs, at its 'Artificial Intelligence (AI) Day' event on the 30th. Originally, this event was scheduled for June but was postponed due to concerns about whether 'Optimus' would operate properly. Accordingly, expectations are high for this announcement, according to Hana Securities.

Earlier, Tesla CEO Elon Musk stated that Tesla robots would be deployed to perform repetitive and dangerous tasks instead of humans. He further revealed that the vision is to provide customized services such as cooking and elderly care to millions of households.

Hana Securities also views positively the Ministry of Land, Infrastructure and Transport's 'Mobility Innovation Roadmap,' which mentions fostering a broad range of robots including autonomous vehicles and drones. Specifically, it refers to the commercialization of fully autonomous buses by 2025 and the demonstration of logistics services using robots and drones.

Hana Securities notes that industries are focusing on robots amid the challenges of low birth rates and an aging population. Even as labor becomes increasingly scarce, companies' efforts to improve productivity have led to automation and robotics. It is also analyzed that companies will invest in and develop robots for commercialization.

Hana Securities diagnosed that robots capable of fully independent thinking and action are both a short-term and very long-term theme. In the short term, expectations for related industries will increase as Tesla AI Day approaches. In the long term, since the robot market is now entering its blooming phase, it is expected to show high growth rates.

Researcher Jaehyuk Han of Hana Securities said, "It will take a long time for robots at the expected level to be commercialized," but added, "In the process of reaching the level of robots that companies desire, related industries such as components and software will begin steep growth first."