We all saw what happened in the 2010’s with Tesla, Musk might have another hit on his hands with Robotaxi.
FSD Strategy: Tesla’s Break from LiDAR-Based Systems
The key differentiator between Tesla and its Robotaxi competitors is its rejection of LiDAR in favor of a vision-based system driven by AI and neural networks. While most AV developers utilize LiDAR—a laser-based system capable of mapping high-resolution 3D environments—Tesla uses a combination of cameras, radar (in some models), and its proprietary Full Self-Driving (FSD) computer. Tesla’s bet is that neural networks trained on vision, not laser scanning, will ultimately lead to safer, more scalable autonomy.
Guess I missed the memo around Robotaxi was a “cost-effective AI-driven system” positioned for higher revenue growth compared to “LiDAR-based systems” like Waymo.
Table 2 presents a comparative breakdown of per-vehicle costs between Tesla's AI-based system and LiDAR-based systems. It also captures why Tesla’s approach could unlock margin and scale advantages over time.
💫 Kinda wild, but Tesla owners are literally one software update away from their AI robot car making them fiat.
Here is Robotaxi in the wild this weekend in Austin debut.
Someone will eventually run the numbers on the energy cost vs. rideshare earnings. Interesting times ahead.