Tesla Inc. (TSLA) launched a live Robotaxi pilot in Austin, Texas, marking a significant milestone in the autonomous vehicle (AV) sector. With a fleet of modified Model Ys, the service charges $4.20 per ride and operates without a driver, featuring only a safety monitor present.
The robotaxi market is projected by McKinsey to reach $2 trillion by 2030, influenced by a demand for urban mobility and advancements in autonomous technology. Competitors in the space include Waymo, which has been testing robotaxis for over a decade, Uber, which is partnering with other companies for its own autonomous service, and Baidu, the largest robotaxi operator globally with over 11 million autonomous rides logged.
NVIDIA Corporation (NVDA) supports the industry by providing AI hardware, with its self-driving division generating $567 million last quarter, a 72% increase year-over-year. The competition among tech giants suggests a potential transformation in transportation.
