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Virtual reality haptic “smart suit” uses AI with biometrics to simulate real-world environments
One of the innovative future technologies that was on display at this year’s Consumer Electronics Show (CES 2019) in Las Vegas is the Teslasuit, a full body virtual reality haptic suit that delivers real sensations to users that mimic the environment of a digital simulation or game. In a haptic feedback system, stimuli are used to provoke real sensations involving touch – shocks, punches, pushes, bumps, etc. Teslasuit combines this sort of environmental feedback along with climate control, motion capture, and biometric systems to give a fully responsive, immersive experience to the user. Combined with true-to-life virtual reality graphics, this device could finally provide the experience VR was intended to have since its development began.
The full-body sensations of the Teslasuit seem to indicate a new level of experience for virtual reality users, but the haptic capabilities aren’t the only things making it stand out. The suit’s biometric system is designed to use machine learning to analyze heart rate, stress levels, and overall mental and emotional states to create experiences catered to the user. How this capability will be implemented is really up to game developers, though. As data is gathered from biometrics, capabilities will follow. “This is very important for the gaming industry. We see that in the future, when we come to the end user market, that we will be able to offer a lot of data sensing for the developers to process, for the AI itself to adjust the game to the player,” Dimitri Mikhalchuk, co-founder of Teslasuit, explained in an interview with Digital Trends. The suit was first officially unveiled at CES 2018.
Teslasuit uses 68 channels embedded throughout the suit’s fabric to deliver electrical stimulations, and the company is working to expand on that number. Also included in the suit’s software is a haptic library, enabling game developers to create their own effects to correspond with their virtual worlds. The climate control system adjusts the temperature of the suit, heating and cooling in accordance with the virtual environment. Finally, its motion capture and avatar system track motions from the users entire body to interact with virtual environments (and built with multiple players in mind), something that’s more or less an expansion on the core of VR to begin with.
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- The haptic Teslasuit as imagined in a VR game environment. | Credit: Teslasuit
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- The haptic Teslasuit. | Credit: Teslasuit
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- The haptic Teslasuit. | Credit: Teslasuit
While the Teslasuit brings virtual worlds closer to a potentially action-packed reality, bruises are not part of the experience, according to Mikhalchuk. The electric stimulation is matched to the users own strength, adapting its responses to the input. In other words, the force a user “hits” with in a game is the amount of force used to “hit” back, i.e., electric pulses make the muscles contract within that range.
With the equivalent of a full body shocking device wrapped around players, the question of security arises, yet another thing Teslasuit has addressed in its design. Its software has military grade encryption (AES 256) built into its wireless control system to ensure users’ bodies are not (literally) hacked into. Among its many features, Teslasuit is also completely wireless, boasts a 10+ hour battery life, and is machine washable (important for sweat-inducing virtual scenarios and general funk from frequent wear). A summary of the device on the Teslasuit website reads like something from a science fiction movie:
A highly developed form of computer modeling allows an operator to immerse in the artificial world. The user can act directly in it with the help of special sensory devices that link movements with audio-visual effects. In this case, the user’s visual, auditory, tactile, and motor sensations are replaced by their imitation, generated by a computer system with full body haptic VR suit. At the same time, biometric system of the Teslasuit analyzes human performance and health (workforce and human performance analytics). – Teslasuit.io
The future of augmented reality and virtual reality applications have been explored in fictional storylines over the years with the most recent and directly relevant one being the haptic system imagined in the movie Ready Player One. The Battlestar Galactica prequel series “Caprica” also imagined an immersive virtual world that users could “feel” experiences in (or otherwise do things they wouldn’t/couldn’t in the real world), but that didn’t require a suit, just a mind. In an episode of Netflix’s Black Mirror series called “Playtest”, an American traveler in the UK signs up to demo an immersive VR horror game to earn some money. Unlike the Teslasuit, however, the experience in that episode involved an implant to the user’s neck called a “mushroom” which linked up the VR experience with a user’s brain. The Matrix also suggested an immersive environment, although people weren’t exactly voluntarily involved, if they ever knew it wasn’t real to begin with.
Other than gaming, Teslasuit is suggestive of several solutions for non-entertainment industries. According to an article on their company website, several VR-training solutions were available for demonstration at CES 2019: Astronaut VR-training in an ISS module, an oil-loading ramp operation VR-simulator, emergency evacuation VR-training, and a powerplant VR training simulator. Teslasuit is currently continuing its outreach and collaboration with game companies to develop content. Its software development kit and corresponding system tools and applications are included with the purchase of the suit which began shipping B2B in the third quarter of 2018.
Watch the below video for a first-hand review of Teslasuit:
Tesla CEO Elon Musk posted a photo of himself standing with the Optimus production team inside Tesla’s Fremont factory, arms crossed amid workers in hard hats and safety vests. The image captures a pivotal industrial shift: the same facility space once dedicated to building Tesla’s flagship Model S sedan and Model X SUV is now home to the company’s humanoid robot manufacturing line.
Walking the Optimus production line in Fremont pic.twitter.com/ABS0tuRibW
— Elon Musk (@elonmusk) July 1, 2026
Tesla’s Fremont Factory, acquired in 2010 from the former NUMMI joint venture between Toyota and GM, has been the company’s original U.S. manufacturing hub since Model S production began in 2012.
The Model X followed soon thereafter. These premium vehicles offered lower annual volumes, recently around 30,000 combined, compared to the high-volume Model 3 and Model Y lines that continue around the site. Over their combined run, the S and X accounted for roughly 610,000 units.
In late January 2026, during Tesla’s Q4 2025 earnings call, Elon Musk announced the end of Model S and Model X production in Q2 2026. The final vehicles rolled off the line in early May. Rather than retooling for another vehicle, Tesla chose to convert the dedicated S/X assembly area into a dedicated Optimus Gen 3 production line.
Model 3 and Y manufacturing remains unaffected. Tesla’s official Fremont Factory page now lists Optimus alongside the 3 and Y as core products.
The conversion was executed with remarkable speed. After production stopped, crews dismantled the existing vehicle line and installed entirely new modular equipment—including lines sourced from Germany and dozens of sub-lines for actuators, batteries, and other components—in roughly four months.
Musk described the timeline as “insanely fast,” noting it would be unprecedented for any other manufacturer. Initial Optimus output is expected to ramp slowly due to the robot’s roughly 10,000 unique parts and the brand-new production processes involved. The Fremont line targets an eventual capacity of 1 million Optimus units per year.
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
Optimus Development Timeline
- August 19, 2021: Optimus (then called Tesla Bot) formally announced at Tesla’s first AI Day. A concept video showed a person in a suit demonstrating the vision for a general-purpose humanoid capable of dangerous, repetitive, or boring tasks using the same AI architecture as Full Self-Driving.
- 2022: Early prototypes displayed. At the second AI Day in September, semi-functional units demonstrated walking across a stage and basic arm movements
- 2023: September videos showed improved capabilities, including sorting colored blocks, precise limb awareness, and holding a Yoda pose.
- 2024-early 2025: Factory integration videos showed Optimus navigating workspaces and handling objects like battery cells.
- January 2026: Gen 3 mass-production activities began at Fremont, with reports of over 1,000 Gen 3 units already operating inside the factory for real-world learning and AI training
- April 2026: Musk confirms Optimus production on converted Fremont line would begin in late July or August 2026. The Gen 3 reveal, originally eyed for Q1, was pushed closer to production start. A second, much larger Optimus factory at Giga Texas is under construction, with volume production targeted for Summer 2027 and long-term capacity of 10 million units annually
- July 1, 2026: Musk’s on-site visit and team photo confirm the Optimus line is operational and the transition is actively progressing
Tesla positions Optimus as potentially its largest project ever, leveraging vertical integration, AI expertise, and car-like manufacturing know-how to scale humanoid robots first for its own factories and later for broader industrial and consumer use.
The Fremont conversion serves as a critical proving ground for this ambitious new chapter in Tesla’s already-rich history.
Investor's Corner
Tesla gets its latest short from Michael Burry: ‘Happy it jumped back to this level’
Tesla short seller Michael Burry, the subject of the film “The Big Short,” where he was portrayed by Steve Carell, has revealed he has opened a new bet against the stock.
In a new update to his Substack newsletter in a post titled “Trading Post June 30, 2026,” Burry revealed a new set of bets against Tesla, Caterpillar, NVIDIA, Applied Materials Inc., and the iShares Semiconductor ETF.
In regard to Tesla, Burry wrote:
“And finally I shorted Tesla at 416.22. Happy it jumped back to this level.”
This means Burry likely opened his new short position after the company’s recent rally on Wall Street, which saw Tesla shares sink in mid-May, only to recover to well over the $400 mark. Currently, shares trade at around $427.
The company saw a big Tuesday as shares climbed considerably, over 10 percent. The size of the Tesla short was not provided, nor did Burry give any information on the position’s structure, the number of shares, dollar value, or whether options were used in the short.
The Tesla and SpaceX merger everyone is talking about is quietly building
Over the years, Burry has been one of the more vocal critics of Tesla, calling its share price “media inflated,” and saying it was “ridiculously overvalued” as recently as December.
The company has largely transitioned away from being known as an automotive company and instead is much more widely regarded as an AI play, mostly due to its Full Self-Driving efforts, Optimus robot development, and data collection related to both.
This has not pulled those skeptics away from being vocal about their distaste for how Tesla is valued, but there’s no denying that the company is a global force in many things, including sustainable energy, automotive, and AI.
Wedbush Securities is initiating stock coverage on SpaceX (NASDAQ: SPCX), marking the first comments on the company since it went public several weeks ago. Wedbush and its analyst handling coverage, Dan Ives, are widely bullish on fellow Musk company Tesla (NASDAQ: TSLA).
Ives wrote his first note initiating coverage of SpaceX shares on Wednesday with a $190 price target and an ‘Outperform’ rating. The firm believes the company is well positioned off of its IPO because of its wide array of projects, including AI compute power and infrastructure, connectivity projects, and launches.
“We view SpaceX as one of the most differentiated assets within the tech market with a strong footprint across its three core markets, with Starlink driving success with connectivity,” Ives wrote, “Starship launches leading to a demand flywheel and increasing deal flow for its Colossus clusters.”
Elon Musk called it Epic: The full story of SpaceX’s Starship Flight 12
Wedbush leans heavily on Starlink, which they say is the “profitability driver given the strength of its recurring revenue base of ~12 million subscribers as of June 5th.” Ives believes Starlink is still in the “early innings” of penetrating the global telecommunications and broadband market, as it only holds less than a 1 percent share. However, this number is sure to increase over time.
It also highlights the importance of Starship, which it says is an “essential layer” of SpaceX’s overall success. SpaceX developing and displaying the ability to reuse rockets is a major cost and reliability advantage “as it reduces the necessary hardware launch costs while generating a feedback loop for future flights to improve their launch flight rate without accelerating capex spend.”
Finally, SpaceX’s recent AI/Compute projects are also very elementary, Ives writes. It is worth mentioning Wedbush said its $190 price target is derived from a valuation forecast that sees the company yielding roughly $2.48 trillion of implied enterprise value.
There are also some factors that Wedbush did not take into account with its initial coverage. The firm wrote in the note:
“We note that there is optional value coming from Starship’s accelerating scale towards sub-$200/kg unit economics, orbital data centers, and enterprise AI monetization as these factors could drive meaningful upside but these face major hurdles, so we do not take that into account with our valuation.”
SpaceX shares are down just over 2 percent today, trading at around $167 at the time of publication.
Tesla Optimus project fires up as Musk sees production line progress
Tesla gets its latest short from Michael Burry: ‘Happy it jumped back to this level’
