Before humanoid robots enter the modern battlefield alongside ground bots and low-cost suicide drones, these bipedal robots are first being unleashed on factory floors and inside warehouses, where the physical world of AI is beginning to take shape.
The latest development in humanoids entering factory floors comes from BMW's Spartanburg factory, where the Figure 03 robots were deployed earlier this week.
"Following the successful deployment of Figure 02 on the assembly line in 2025, our latest generation robot - Figure 03 - arrived in Hall 52, one of the assembly and logistics halls at BMW Group Plant Spartanburg," robot startup Figure wrote in a press release.
JPMorgan analyst Jose Asumendi attended the "Home of X" event at the Spartanburg plant on Tuesday, which showcased the German automaker's commitment to the US, where it's becoming the test bed for "physical AI."
"At the same time, we have seen that the Plant Spartanburg is advancing the next stage of innovation through physical AI. By utilizing humanoid robots from Figure AI, Plant Spartanburg has become a pioneer of BMW's Physical AI Initiative," Asumendi wrote in a note to clients.
The analyst continued, "These humanoid robots are actively engaged in tasks such as transporting materials, handling components, and organizing parts within the facility. Their involvement supports associates by taking on physically demanding and repetitive work, allowing employees to concentrate on the precision, craftsmanship, and quality that are hallmarks of every BMW vehicle. This collaboration between humans and robots is setting a new standard for manufacturing efficiency and innovation at Plant Spartanburg."
What the analyst saw on the manufacturing line:
Humanoids on the factory floors of BMW's Spartanburg plant are part of the car company's $1.7 billion investment in South Carolina, laying the groundwork for U.S. production of fully electric BMW vehicles. The company plans to begin assembling the fully electric iX5 in Spartanburg before the end of 2026 and at least six fully electric models in the U.S. by 2030.
Last month, Deutsche Bank's Head of APAC Automation & Industrials Research, Iris Zheng, shared with clients that the humanoid robot market is beginning to show signs of life, driven by faster ramp-ups from Chinese manufacturers and Tesla's push toward mass production.
This prompted Zheng's team to raise its 2026 to 2029 forecast for the global humanoid robot market; now expecting global shipments of humanoid robots to approach 50,000 units in 2026, up from the previous forecast of 17,500 in 2025 (more than doubling), before rising to about 700,500 units by 2030 and 70 million by 2050.
Related:
Bernstein analyst Eunice Lee recently noted that car companies are beginning to develop humanoids themselves:
Complete overview of the auto industry by company developing humanoids:
What's important to understand right now is that this is the early stage of physical AI, and some automakers are deploying these robots on factory floors, while others, such as Tesla, are developing them. The new model for car companies to create new revenue streams will be the production of robots because they share a similar parts ecosystem with EVs.