Tesla starts Optimus robot production in California as profit drops 43%

Tesla has begun production of its Optimus humanoid robot at its Fremont, California factory, marking the first commercial-quality units, though this milestone failed to offset a 43% drop in quarterly profits. The company's third-quarter revenue was flat at $28.04 billion, while expenses surged due to heavy investment in AI, robotics, and autonomous driving. Vehicle deliveries totaled 486,532, slightly below last year's figures, and solar/energy storage revenue fell 16% to $2.8 billion. Tesla's net income declined to $787 million from $1.37 billion a year earlier, partly due to lower regulatory credit sales. However, its services segment, including Full Self-Driving subscriptions, grew 33% to $4.6 billion, contributing a record $734 million in gross profit.