AI’s Just Made Robots Interesting Again

For decades, robotics has carried the reputation of being the ultimate “technology that never quite delivered.” But this month—October 2025—something shifted. Over $6 billion has poured into robotics, with major investors declaring that the next big thing is physical AI.

In this episode of In The Loop, I explore why robotics might finally be having its iPhone moment. I break down what’s changed, from embodied AI that gives robots physical intuition to world models that let machines simulate and predict how the real world works. We’ll dig into why companies like SoftBank, Nvidia, and Elon Musk’s xAI are doubling down on humanoid robots, how breakthroughs in training data and cloud infrastructure are reshaping what’s possible, and whether this surge of optimism is the start of something big—or just another hype cycle in the making.

⏭️ Episode Highlights

(00:55) – Setting the stage: the long history of consumer robotics overpromising and underdelivering

(00:55) Why $6 billion just flowed into robotics: SoftBank, xAI, and the rise of world models

(08:05) Reality check: the challenges still holding robotics back from mass adoption

(10:15) Breaking down the three biggest hurdles: real-world reliability, cost, generalization & edge-cases

(11:40) Closing thoughts: why AI robots might be closer than we think, but not quite here yet

🔗 Links & Resources

Episode transcript with more resources on the Mindset AI blog

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Jack Houghton

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