Finance News

Elon Musk’s glitzy launch for ‘Cybercab’ robotaxi leaves Tesla-watchers


Tesla CEO Elon Musk showcased on Thursday a long-awaited robotaxi with two gull-wing doors and no steering wheel or pedals, in a display that has largely failed to create much fanfare.

At a glitzy unveiling, Musk reached the stage in a “Cybercab” to be produced from 2026 — eventually in high volume — and priced under $30,000 US. He then introduced a robovan, which he claims can carry up to 20 people, though he offered few further details.

But Musk, who has a record of missing projections — and himself said he tended to be optimistic with time frames — did not say how quickly Tesla could ramp up production, clear inevitable regulatory hurdles or implement a business plan to leapfrog robotaxi rivals such as Alphabet’s Waymo.

Investors were evidently skeptical after the event — Tesla’s stock fell nearly nine per cent on Friday. 

A bronze coloured electric vehicle is shown at an event.
Tesla CEO and X owner Elon Musk rides in Tesla’s robotaxi at an unveilling event in Los Angeles on Thursday evening. (Tesla/Reuters)

Analysts and industry experts said establishing fully autonomous taxis could take years, particularly given the need to ensure safety and reliability. They pointed to accidents involving the technology, as well as the difficulties it has responding to scenarios such as inclement weather, complex intersections and pedestrian behaviour.

But Musk, wearing a leather jacket and addressing crowds at the Warner Bros. studio near Los Angeles, posited that autonomous cars could be 10 times safer than those driven by humans, and drive five to 10 times longer.

“The autonomous future is here,” Musk said. “With autonomy, you get your time back.”

Krzysztof Czarnecki, professor of electrical and computer engineering at the University of Waterloo, said he wasn’t convinced that Tesla’s technology is there yet. 

There is “a big gap” between what was presented Thursday and what would be necessary for robotaxis to operate safely in busy downtown traffic, he said.

“Building a robotaxi without a steering wheel — that any [original equipment manufacturer] can do today,” he said. 

“What they presented was some vehicle hardware and some vision. Most of that vision has been articulated before.”

A man in a black leather jacket holds a microphone.
Musk said the Cybercab will go into production from 2026 and be priced under $30,000 US. (Tesla/Reuters)

Musk had previously said he planned to operate a fleet of self-driving Tesla taxis that passengers could hail through an app. Individual Tesla owners would also be able to make money on the app by listing their vehicles as robotaxis, he had said. He made no mention of the app at Thursday’s event, despite painting a picture of a future where an owner might send their car away to be used by others while they’re at work.

From automaker to AI robotics company

The event — titled “We, Robot” in an apparent nod to the I, Robot science-fiction short story collection by Isaac Asimov — echoed Musk’s comment that Tesla “should be thought of as an AI robotics company” rather than an automaker.

It started after a…



Read More: Elon Musk’s glitzy launch for ‘Cybercab’ robotaxi leaves Tesla-watchers

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More