Uber CEO Dara Khosrowshahi suggests a potential collaboration between Uber and Tesla in the burgeoning field of autonomous vehicles. He emphasizes that economic laws are universal, affecting Tesla as much as any other car company. As Tesla prepares to launch its robotaxi business in Austin this June using its Model 3 and Model Y electric vehicles, Khosrowshahi believes a partnership could prove beneficial. The robotaxi venture, which is just months away, could see Tesla vehicles integrated into the Uber app, streamlining operations for both companies.
Tesla’s robotaxi initiative aims to place autonomous vehicles on the roads of Austin, Texas, a city already familiar with autonomous vehicle operators. According to the City of Austin’s website, six companies, including Volkswagen’s ADMT, GM’s Cruise, and Waymo, currently operate in the area. Tesla’s plan involves utilizing its existing Full Self-Driving (Unsupervised) software, which many of its approximately 150,000 Uber-affiliated drivers already use. This integration could ensure a seamless transition for those who upgrade their vehicles.
Khosrowshahi’s Strategic Argument for Collaboration
Khosrowshahi presents a compelling argument for collaboration by drawing parallels with McDonald’s business strategy. He suggests it may be more cost-effective for Tesla to leverage Uber’s established app rather than investing in building and expanding its own platform. This approach mirrors that of Waymo, which initially launched its Waymo One app but has since expanded to offer rides through Uber in cities like Austin and Atlanta.
“Economic laws apply to Tesla, just as they do to any other car company,” – Dara Khosrowshahi
Tesla previewed its future plans with the Cybercab and Robovan robotaxis last fall. However, these models, notably lacking steering wheels, are not expected to enter production until 2026 or 2027. In the meantime, Tesla’s focus remains on its immediate rollout of the Model 3 and Model Y robotaxis.
Elon Musk, CEO of Tesla, has expressed confidence in the project’s proximity and feasibility. He emphasized the importance of a cautious approach to ensure public safety.
“This is not some far-off mythical situation,” – Elon Musk
“It’s literally a five-months-away kind of thing.” – Elon Musk
“We just want to be cautious…put a toe in the water, [and] make sure everything is okay, then put a few more toes in the water, then put a foot in the water with safety of the general public and those in the car as our top priority.” – Elon Musk
Meanwhile, General Motors is exploring options to incorporate Cruise’s self-driving technology into its passenger vehicles. This development offers an alternative pathway for Tesla should it choose not to align with Uber.
Author’s Opinion
The potential collaboration between Uber and Tesla could streamline the integration of robotaxis into the mainstream, benefiting both companies. However, challenges related to safety, regulatory approval, and market adoption of autonomous vehicles remain significant hurdles that will require careful management as the industry matures.
Featured image credit: freestocks via Flickr
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