Tesla is unveiling its long-awaited robotaxi amid doubts about the technology it runs on
DETROIT– Expectations are high for the long-awaited unveiling of Tesla’s robotaxi at a Hollywood studio on Thursday evening. Too high for some analysts and investors.
The company, which started selling software it calls ‘Full Self-Driving’ nine years ago still can’t drive himselfis expected to show off the so-called ‘Cybercab’ vehicle, which may not have steering wheel and pedals.
The revelation comes as CEO Elon Musk tries to convince investors that his company is moving more into artificial intelligence and robotics as it struggles to sell its core products, an aging line of electric vehicles.
Some analysts predict it will be a historic day for the Austin, Texas-based company as it takes a huge step toward a long-awaited robotaxi service powered by AI.
But others who follow self-driving vehicles say Musk has yet to demonstrate that Tesla’s system can travel safely without a human driver on hand to intervene to prevent accidents.
“I don’t know why the headlines keep saying, ‘What is Tesla going to announce?’ instead of ‘Why does Tesla think we’re so stupid?’” said Bryant Walker Smith, a law professor at the University of South Carolina who studies autonomous vehicles.
He doesn’t see that Tesla has the ability to show off software and hardware that can operate without human supervision, even in a limited area known to the propulsion system.
“We just haven’t seen any indication that Tesla is working toward that,” Walker Smith said. “If they were, they wouldn’t be presenting this in a closed area, but in a real city or on a real highway.”
Without a clear breakthrough in autonomous technology, Tesla will just show off a vehicle without pedals or steering wheel, which has already been done by numerous other companies, he said.
“The challenge is to develop a combination of hardware and software plus the human and digital infrastructure to actually safely drive a vehicle on public roads under all conditions, even without a steering wheel,” said Walker Smith. “Tesla gives us that demo every year and it doesn’t reassure us.”
Many sector analysts do not expect much from the event either. While TD Cowen’s Jeff Osborne expects Musk to unveil the Cybercab and perhaps the Model 2, a cheaper electric vehicle, he said he doesn’t expect much change in self-driving technology.
“We expect the event to be light on details and will appeal to the true long-term believers in Tesla,” Osborne wrote in a note. However, Musk’s claims about Full Self Driving’s readiness will be critical “given previous delays and ongoing research” of the system and of Tesla’s less advanced Autopilot driver assistance software.
Tesla’s model lineup is struggling and likely won’t be updated until late next year, Osborne wrote. Additionally, he wrote that according to TD Cowen, the “politicization of Elon” is eroding the Tesla brand among Democrat buyers in the US.
Musk has supported Republican presidential candidate Donald Trump and promoted many conservative causes. Last weekend he joined Trump at a meeting in Pennsylvania.
Musk has said for more than five years that there is a fleet of robotaxis in the area, allowing Tesla owners to make money by letting their car carry passengers while it is not being used by the owners.
But he has acknowledged that past predictions about the use of autonomous driving have proven too optimistic. In 2019 he promised the fleet of autonomous vehicles by the end of 2020.
However, Wedbush analyst Dan Ives, who is bullish on Tesla shares, wrote in an investor note that the robotaxi event, dubbed “We, Robot” by the company, will be a new chapter of growth for Tesla.
Ives expects many updates and details from Tesla about the robotaxi, plus breakthroughs in the field of Full Self Driving and artificial intelligence. He is also looking for a phased strategy for rolling out robotaxis within the next year, as well as a Tesla ride-sharing app, and demonstrations of technology “designed to revolutionize urban transportation.” ”
Ives, whose organization hosted the invitation-only event at the Warner Bros. studio. will attend, wrote that he also expects updates on Tesla’s humanoid robot Optimus, which the company plans to start selling in 2026.
“We believe this is a pivotal time for Tesla as the company prepares to release its long-standing Robotaxi R&D shadowed behind the curtains, while Musk & Co. explained the company’s vision for the future,” Ives wrote.
The announcement comes as US safety regulators investigate Full Self Driving and Autopilot based on evidence that a weak system to ensure human drivers are paying attention.
In addition, the US National Highway Traffic Safety Administration forced Tesla to recall Fully self-driving in February because it allowed speeding and violated other traffic laws, especially near intersections. Tesla would solve the problems with an online software update.
Last April in Snohomish County, Washington, near Seattle, a Tesla uses full self-driving Authorities said a motorcyclist was struck and killed. The Tesla driver told authorities he was using the system while looking at his phone when the car rear-ended the motorcyclist. The motorcyclist was pronounced dead at the scene, authorities said.
NHTSA says it is evaluating information about Tesla’s fatal crash and law enforcement officials.
The The Ministry of Justice has also requested information from Tesla about Full Self-Driving and Autopilot, and other items.