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Tesla Cybercab
This Tesla Cybercab won’t be the car self-driving passengers see around Austin in June (Sjoerd van der Wal/Getty Images)
Fear Factor

Poll: More than 70% of American voters say they wouldn’t use robotaxis or Tesla’s full self-driving tech

That sentiment holds across age, party, income, and geography.

Rani Molla

Ahead of Tesla’s robotaxi rollout next month, market research firm Electric Vehicle Intelligence Report surveyed 8,000 American voters in May on their feelings regarding autonomous driving. While CEO Elon Musk says his self-driving car service is ready for public roads, the public doesn’t share that view.

Some 71% of consumers said they wouldn’t ride in a robotaxi and 43% said they should be illegal. Meanwhile, 77% said they wouldn’t use Tesla’s full self-driving technology and 48% believe that should be illegal, too.

Americans’ biggest concerns are the “lack of human judgment” and the absence of a person in case something goes wrong. Survey takers also don’t think the technology has been sufficiently tested — and they don’t want to be crash test dummies.

“Right now, autonomous driving is viewed as a tradeoff between inconvenience and safety, and safety is going to win that fight every time,” Evan Roth Smith, EVIR’s head of research, told Sherwood News. “Autonomous driving demos and promos frequently over-focus on the convenience factor, but it’s safety incidents that make the news and penetrate to consumers.”

In all, the share of those who were concerned by autonomous vehicles (67%) vastly outweighed the portion who are excited about the tech (18%).

For now, Tesla’s robotaxi program is expected to launch in Austin with just 10 to 20 cars and is by invite only — so the American public won’t really get to express its opinions in the form of taking these vehicles or not for some time. Meanwhile, Google’s side project Waymo is bringing in a quarter of a million paid rides per week (which is still far from mass market).

“You can call that an ‘early adoption curve’ if you like, but there’s a real risk that the market for this technology is far more limited than hoped,” Smith said. “The headwinds are certainly strong enough to doubt that Tesla or any other company should be staking its near- or medium-term prospects on robotaxi adoption.”

Musk, however, is betting they will in the future and staking Tesla’s success to that bet. “The future of the company is fundamentally based on large-scale autonomous cars,” Musk said on the company’s last earnings call.

“In the not too distant future, buying a gasoline car that is not autonomous, will be like riding a horse while using a flip phone,” he said. “Some people still do it, but it’s rare.”

Tesla’s not too distant future may have to focus on getting the public onboard for that to come true.

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Amazon to lay off thousands more office workers on path to 30,000 cuts

Amazon plans to axe thousands of corporate workers next week, after laying off 14,000 back in October, according to Reuters. The new cuts could be “roughly the same” number as last time and may hit Amazon Web Services, retail, Prime Video, and human resources, the report said, citing people familiar with the matter.

The company plans to cut a total of 30,000 corporate positions as part of an effort to “streamline operations and reset its culture,” Business Insider reported separately, noting comments from CEO Andy Jassy, who said the earlier layoffs were “about culture” rather than AI-related cost cutting.

The company plans to cut a total of 30,000 corporate positions as part of an effort to “streamline operations and reset its culture,” Business Insider reported separately, noting comments from CEO Andy Jassy, who said the earlier layoffs were “about culture” rather than AI-related cost cutting.

Little  Bay Beach

There are now more than 1 million “.ai” websites, contributing an estimated $70 million to Anguilla’s government revenue last year

Data from Domain Name Stat reveals that the top-level domain originally assigned to the British Overseas Territory of Anguilla passed the milestone in early January.

tech

TikTok closes deal to operate in the US

TikTok has finally sealed its deal to establish a majority American-owned joint venture to manage its US operations.

On Friday, the social media company announced that its US arm will now be led by three “managing investors” — Silver Lake, Oracle, and MGX, each with a 15% holding — while ByteDance retains 19.9% of the business, and a swath of other investors, including Michael Dell’s family office, round out the cap table.

The joint venture will be operated by a seven-person majority American board of directors, which includes TikTok CEO Shou Chew, with Adam Presser, previously TikTok’s head of operations, trust, and safety, as its CEO.

Though the valuation of the new venture has not been shared, Vice President JD Vance has previously cited the market value of TikTok’s US operations at about $14 billion, just topping Snap and lower than Pinterest.

The deal closes the platform’s battle, which kicked off in earnest in August 2020 when President Donald Trump first tried to ban TikTok over national security concerns. The announcement notes that the new TikTok USDS Joint Venture LLC will “secure U.S. user data, apps and the algorithm.” Trump celebrated the deal, which has been signed off by both the US and Chinese governments, per Reuters, in a Truth Social post, saying TikTok “will now be owned by a group of Great American Patriots and Investors, the Biggest in the World.”

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Rani Molla

Elon Musk says Tesla Robotaxis are operating without drivers, sending stock higher

Tesla CEO Elon Musk said that Tesla’s Robotaxis are now operating in Austin without a safety monitor. Tesla has been testing driverless cars in the area for about a month, and Musk had previously said the company would remove safety drivers by the end of 2025.

It’s unclear how many exactly of the roughly 50 Robotaxis the company operates in the area don’t have drivers. Tesla is “starting with a few unsupervised vehicles mixed in with the broader robotaxi fleet with safety monitors, and the ratio will increase over time,” Ashok Elluswamy, Tesla’s head of AI, posted shortly after Musk. Ethan McKenna, the person behind Robotaxi Tracker, estimates it’s two or three vehicles.

What is clear is that the move is good for Tesla’s stock, which is currently up 3.5%, extending its gains after Musk’s tweet. Morgan Stanley said yesterday that it considers the removal of safety drivers a “precursor to personal unsupervised FSD rollout.” Unsupervised Full Self-Driving is widely considered to be integral to the would-be autonomous company’s value proposition.

At the World Economic Forum earlier on Thursday, Musk said, “Self-driving cars is essentially a solved problem at this point.”

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