Tesla CEO Elon Musk has introduced a new electric vehicle designed specifically for self-driving, marking a potential turning point after years of unmet promises and missed deadlines.
The robotaxi is an autonomous vehicle built without a steering wheel or pedals, which means it will require regulatory approval before production can begin. Its futuristic design features upward-opening doors and a compact cabin accommodating just two passengers. Notably, the vehicle does not have a plug, as Musk indicated it will charge inductively, allowing for wireless power replenishment. He stated that autonomous vehicles are projected to be 10-20 times safer than those driven by humans and could cost as little as $0.20 per mile, compared to $1 per mile for city buses.
Tesla aims to launch fully autonomous driving in Texas and California next year, with robotaxi production expected by 2026, although Musk noted it could extend to 2027. Additionally, Tesla is working on the Optimus robot, which could retail for $20,000-$30,000 and is designed to handle various tasks.
“This is a significant development,” Musk said. “It will save many lives and prevent injuries.” He showcased the prototype robotaxi at Tesla’s “We, Robot” event at Warner Bros. studios in Burbank, California, on roads not open to the public for testing. Although Tesla claims it does not depend on high-definition maps for its Full Self-Driving (FSD) feature, the company has been mapping the area in preparation for the demonstration.
Musk is shifting Tesla’s focus from solely manufacturing electric vehicles to also producing robots and AI technologies. Tesla’s market capitalization is comparable to that of all other global automakers combined, with much of its stock price tied to Musk’s long-standing commitment to develop a truly autonomous vehicle.
The success of Tesla’s robotaxi in achieving full autonomy remains uncertain. While Musk is known for defying expectations, experts in autonomous vehicles have raised concerns about Tesla’s approach, particularly regarding its aggressive push for Level 2 advanced driver-assist systems like Autopilot and Full Self-Driving (Supervised). These features, which are not fully autonomous and require driver supervision, have shown potential but have also been associated with critical errors. Earlier this year, a 28-year-old motorcyclist was killed by a Tesla allegedly using FSD. In light of increased scrutiny from regulators, Tesla has recalled both of its driver-assist systems.
Nonetheless, Musk has a history of overcoming challenges, as demonstrated by the successful production of the Model 3 and the early traction of the Cybertruck.
“Consider the total time people spend in cars,” Musk remarked at the event. “Think about the time they can reclaim to read, watch movies, or work.”
Despite these ambitions, Tesla trails behind companies like Waymo and Cruise, which have accumulated millions of miles of real-world testing with their driverless vehicles. The rollout of robotaxis has faced hurdles, including blocked vehicles, traffic congestion, and some incidents leading to injuries. Federal safety regulators are currently investigating several companies to determine the safety of the technologies used in these vehicles.
Families of Tesla drivers killed in Autopilot-related crashes have filed wrongful death lawsuits against the company. Moreover, Musk’s leadership at X, formerly Twitter, has alienated many of Tesla’s progressive customers, who have reacted negatively to his promotion of right-wing conspiracy theories on the platform.
