Good morning!

Morgan Stanley just dropped a mind-blowing report that predicts robotics will explode from a $91 billion industry into an absolutely massive $25 TRILLION global mega industry by 2050.

But before I dive into that, I just want to say I hope you had an amazing Christmas and enjoyed the long weekend with your loved ones! This is one of those rare times of year where we can really unplug, focus on family, and just relax.

Hope yours was awesome!

Now, Circling Back to The Report That Robotics Will Become a $25T Mega Industry

Morgan Stanley is predicting that robotics will boom into a $25 trillion mega industry by 2050 as AI continues to get smarter and more powerful.

That's not a typo. We're talking TRILLION with a T!

To put that in perspective, that's about 250 times bigger than where the industry is right now.

Insane, right?

Personally, I'm a huge fan of robots. I'm definitely planning to get one to help around the house once they're available to regular people like us.

No more vacuuming or doing dishes? Sign me up!

It's actually kind of funny, we even hired a robot dog as a showcase piece for one of our past AI For Business LIVE summits.

People went crazy for it! The future is already here, folks.

Tesla, Figure, And Other Companies Are Racing To Build The First Mass-Produced Humanoid Robot

Right now, companies like Tesla, Figure, and Boston Dynamics are in an all-out race to create robots that move and work just like humans do. We're talking about robots with:

• Two legs that can walk up stairs

• Arms and hands that can grab and manipulate objects

• Balance systems that keep them from falling over

These companies are pouring billions into making this happen, and they're getting scary close to pulling it off.

Check out this example from Figure 03

Pretty wild, right? This isn't science fiction anymore – it's real life!

But wait, there's more...

When Morgan Stanley calculated that $25 trillion number, they weren't just talking about the physical robots themselves. They also included AI-powered robotic software in the equation.

And honestly? That makes total sense.

These robots will need powerful AI operating systems to function properly. Think of it like this:

The robot body is like your smartphone

The AI software is like the apps that make it useful

Without the software, these robots are just expensive paperweights. That's why robotics software is projected to grow at a 22.4% rate over the next decade – jumping from $20 billion to $150 billion!

Robotics In Transportation

We're already seeing this with robotaxis taking over our streets.

Companies like:

• Waymo (Google's self-driving car service)

• Cruise (backed by General Motors)

• Zoox (owned by Amazon)

These are already operating in cities across America right now!

And it's not just cars.

We're talking about:

• Autonomous delivery drones dropping packages at your door

• Autonomous trucks hauling freight across the country

Robotics In Professional Services And Medicine

Robots are already starting to take over jobs in:

• Fast food cooking – making burgers and fries with perfect consistency

• Package deliveries – Amazon's warehouse robots are just the beginning

• Surgeries – robotic surgeons can make cuts more precise than any human hand

• Hotel services – robots delivering room service and handling check-ins The list goes on and on!

Key Dependencies For This To Come To Fruition

For robots to truly take over all these repetative tasks, three key technologies need to come together perfectly:

1.Artificial Intelligence (The Brain)

AI is what lets robots:

• Learn from mistakes instead of needing to be reprogrammed every time

• Understand natural language so you can just talk to them normally

• Adapt to new situations they've never seen before

• Make decisions in real-time without human input

This is the biggest breakthrough. Before AI like ChatGPT, robots were basically just fancy machines that could only do exactly what they were programmed to do. Now? They can actually think and learn on their own.

2.Advanced Sensors (The Eyes and Ears)

Robots need to "see" and "feel" the world around them.

That's where sensors come in:

• Cameras and vision systems that work like human eyes

• Touch sensors that tell them how hard to grip something

• Balance sensors that keep them from falling over

• Proximity sensors that help them avoid obstacles

Without good sensors, a robot is basically stumbling around blind. These need to get cheaper and more accurate for robots to really take off.

3.Automation And Materials (For Production)

We will need huge factories and production sites to keep up with the demand, which inevetable touches to rare earth metals for chips and circuitry.

This is why so many governments around the world are trying to get their hands on large deposits and processing technology of these materials.

The AI revolution isn't just about chatbots and image generators, folks.

It's about physical robots powered by AI that will transform every aspect of how we live and work.

And honestly? I'm pretty excited about it.

What do you think?

Talk soon,

Brian