What’s happening between Uber and autonomous cars? The company is teaming up with Baidu to bring a new kind of transportation to the streets: the Apollo, an autonomous vehicle that works as a robo-taxi. These driverless cars could soon be picking up passengers in places like Abu Dhabi, Dubai, and other parts of Asia and the Middle East.
Uber’s CEO, Dara Khosrowshahi, has said that fully autonomous transport isn’t quite ready to replace human drivers completely, but that’s not stopping the company from moving forward. While other companies like Waymo and Tesla are also working on similar technology, this partnership with Baidu could give Uber an edge — especially in markets where apps like Grab already dominate. So, what makes this new project different? Let’s see more in detail about what this project is about.
What is a robo-taxi?
Can you imagine getting into a taxi with no driver? That’s exactly what Uber wants to do. The company is going to partner with Baidu, a very big tech company from China, to launch thousands of autonomous taxis, also known as robo-taxis. The explanation behind this car being able to move without a human driver is that it uses cameras, sensors, and computers to see the road, follow traffic rules, and take you where you want to go.
Where will they work first?
Uber and Baidu announced they will work together for several years to launch these cars in different countries. But they’re not going to start in the United States or China. The plan is to begin in some countries in Asia and the Middle East.
They didn’t say exactly which countries will come first, but it’s likely they will start in Dubai and Abu Dhabi, because Baidu already has autonomous cars working there.
And what about other countries?
Not all countries in Asia and the Middle East will get these taxis at the beginning. In places like Singapore, Malaysia, Indonesia, the Philippines, Vietnam, and Thailand, it is unlikely we will see these cars soon. Why? Because in those countries the most popular ride app is not Uber, but Grab, a company that beat Uber in competition. That is why Uber had to leave those markets, although it still owns part of Grab as an investor.
What car will they use?
Apollo is the name for the car that will be used in this partnership, and it is coming from Baidu. The first Apollo came out in 2021, and since then several cities in China have slowly allowed them to be used. There are already some of these cars working in 11 Chinese cities. But for now, they can only move in certain special areas called geo-fences, where it’s safer for them to operate.
How much do these cars cost?
Here’s an important part: the price. Baidu says it can make each Apollo car for about $37,000, which is cheap if we compare it with other autonomous taxis that can cost up to $200,000.
Are robo-taxis profitable?
Uber’s CEO, Dara Khosrowshahi, said recently that autonomous taxis are not very profitable yet, meaning they cost more than they earn. That’s why he thinks that in the future, Uber will use these taxis for normal rides, but during busy times (like rush hour or weekends), they will still use cars with human drivers.
Can you imagine the roads being full of these autonomous cars? It sounds like something from a future movie, but thanks to companies like Uber and Baidu, that idea could become real much sooner than we think. We will see if this new technology is a positive change for Uber.