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COVERAGE — PHYSICAL AI & ROBOTICS

Physical AI & Robotics Research

Robotics and physical AI are the next AI trade the desk does not want to sleep through: VC put roughly $9.4B into robotics in 2025 (+41% YoY), and 1X, Figure and Tesla are all racing to ship humanoids in 2026. But it is not a bet on a robot; it is a bet on the supply chain: compute, sensors, actuators, power and the handful of names shipping into real deployments. Demos are easy; ops are the moat. Start with is physical AI investable.

Market metrics

~$6B
Humanoid-robot market size in 2026 (early stage)
$9.4B
Global robotics VC in 2025, +41% YoY
$20K
1X NEO consumer price (or $499/mo)
$520M
Apptronik's Feb 2026 round (Google, Mercedes)

Sources: State of Robotics 2026, company disclosures. Long-run TAM forecasts vary wildly ($200B-$5T).

When software gains a body, the scarce layers become edge inference, sensors, actuators, control systems and real deployment distribution, not the humanoid shell everyone films for the demo. The durable trade is the picks and shovels: foundries, GPUs, EDA, power and cooling, and the industrial robotics with real installed bases, companies that take a cut of the whole physical-AI economy regardless of which robot wins.

Who leads — shipping vs demoing

Player? Status? Trigger?
1X (NEO) OpenAI-backed home humanoid; 10,000+ pre-orders, deliveries targeted end-2026 $20K / $499mo
Figure (03) Hayward factory live; BMW Leipzig deployment; shipments planned by year-end pre-revenue
Tesla (Optimus) Gen 3 lines at Fremont, $20B 2026 capex — but zero external customers, not in material factory use scale-up
Apptronik Google + Mercedes backing; industrial focus $520M raised
Unitree Cheap Chinese humanoids actually shipping in volume — the price-floor threat shipping
Supply chain Nvidia, TSMC, semis, power & cooling — paid regardless of which robot wins the trade
Player = humanoid maker or supply-chain layershipping / the trade real product or paid picks-and-shovelsscale-up / pre-revenue building, no external revenue yetTrigger = price, funding or stage marker

How to read a row → Figure (03): factory is live and BMW Leipzig is a real deployment, but it is still pre-revenue: watch whether the paid pilot turns into shipments, not the demo reel.

Who to watch

What's broken

The desk methodology — what we track

Robotics is where narrative outruns reality by the widest margin, and where being early and right pays the most. The desk buys the supply chain that takes a cut of the whole physical-AI economy and treats humanoid makers as show-me stories. We track paid pilots and external customers (not demo reels); on-device reliability and service economics; and whether machine-driven volume ever needs crypto rails for identity, wallets and settlement. What would change our mind on a humanoid name: recurring paid deployments with unit economics that hold. Public picks-and-shovels core, selective private upside; track record since 2017.

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