Lloyd Lee

Lucid Motors: 5 big announcements on autonomy, robotaxi bet

Lucid Motors is making a big swing toward autonomy, pursuing self-driving in personal cars and a two-seater robotaxi that would rival Tesla’s Cybercab.

During the company’s investor day in New York City on Thursday, interim CEO Marc Winterhoff said Lucid Motors’ investment in robotaxis and autonomy will play a key role in bringing the company to profitability.

“L4 is our north star — to get there as fast as possible,” he said, “and in the end, be a profitable company and cash-flow positive.”

Lucid Motors executives laid out the road map for its robotaxi, which includes a “business-to-business” strategy partnering with companies like Uber, and a timeline for deploying self-driving technology for consumer vehicles by 2029.

With its current portfolio of luxury EV sedans and newly announced investments in midsize SUVs and autonomous driving, Lucid said in its presentation that it expects to target a market that will grow to more than $700 billion by 2035.

Here are the five biggest announcements the EV maker made on autonomy.

Uber partnership deepens

Lucid’s robotaxi partnership with Uber may go beyond the Gravity SUVs that the ride-hailing company has agreed to use for its self-driving fleet.

Lucid said it’s entering the midsize EV market, directly competing with the Tesla Model Y, with two new cars called Lucid Cosmos and Lucid Earth. Starting prices for the EVs will be under $50,000, the company said.

With those midsize SUVs, Lucid said it’s in “advanced discussions” with Uber to scale the ride-hailing company’s robotaxi vehicle platform.

Lucid announced last year that it committed 20,000 Gravity units for Uber’s robotaxis, while the ride-hailing giant has invested $300 million into the EV maker.

Lucid robotaxis set for 2026 launch

The company reaffirmed on Thursday that the commercial launch of Uber’s robotaxi service, through a partnership with Nuro and Lucid, is “on track” for late 2026.

Lucid’s VP of autonomy and advanced driver assistance systems, Kai Stepper, said on Thursday that Uber has been given 80 Gravity SUVs within the past half year for data collection and testing in the San Francisco Bay Area.

Lucid will take on Tesla’s Cybercab

Lucid unveiled a concept for its two-seater robotaxi called “Lunar.”

The car is purpose-built, much like Tesla’s Cybercab or Zoox’s robotaxi, which means the vehicle has no pedals or steering wheel. The concept car that was shown during the presentation included a large console screen that stretched across the dashboard.

Winterhoff said the Lunar will be based on the same platform as the new midsize EVs, allowing for quick ramp-up of production.

The executive said the company expects operating costs to be 40% lower than the robotaxis in the current market; although he did not specify an operator.

Lucid did not explicitly say whether Lunar would be deployed through its partnership with Uber, but Winterhoff revealed the concept car during his conversation with Andrew Macdonald, Uber’s chief operating officer.

“First of all, I feel like I’m sitting in a personal theater with a comfy chair and lots of leg room and the media center in front of me,” Macdonald said. “Second of all, I think our customers are going to love it.”

‘Full Self-Driving’ tech comes to Lucid

Lucid is also betting on self-driving in personally owned cars, outlining a timeline for fully autonomous driving, or Level 4 autonomy, during its investor day.

The company said it expects to deploy hands-free highway driving in the second quarter of 2026; hands-free highway and city driving by 2027; Level 3 autonomy, which allows for eyes-off driving, in 2028; and Level 4 autonomy, or the autonomous driving seen in Waymo’s robotaxi, in 2029.

Winterhoff said during the presentation that the software will be comparable to FSD, or Tesla’s Full Self-Driving, “or better.”

The company did not indicate whether this will enable Lucid to pursue its own robotaxi service. Stepper said Lucid is pursuing a business-to-business strategy for autonomous ride-hailing programs.

Subscription will be a key revenue driver

Lucid is joining a slew of automakers hoping to increase revenue through subscriptions to its self-driving technology.

The company revealed a tiered subscription service for its ADAS, called DreamDrive Pro, that ranges from $69 per month to $199 a month.

The specific features for each tier were not detailed, but the service will range from Level 2+ driving to Level 4 driving.

“Autonomy subscriptions are the single biggest software monetization opportunity,” the company said in its slide deck.




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CEO Dara Khosrowshahi says Uber has a quiet edge in the robotaxi wars

Uber Eats might end up playing a key role in its parent company’s robotaxi business, Uber CEO Dara Khosrowshahi said.

The ride-hailing app is working with multiple companies, such as Alphabet-backed Waymo, to make self-driving cars available through its app. Waymo’s robotaxis have already proven more efficient than most human Uber drivers in cities such as Atlanta and Austin, Uber has said.

One big question hanging over robotaxis, though, is what happens to the vehicles during times of the day when demand for rides is low, Khosrowshahi said on Uber’s fourth-quarter earnings call on Wednesday.

He pointed to one solution: Have them drive orders to customers through Uber’s food delivery and freight businesses.

Some delivery services, such as DoorDash, are also experimenting with robotaxis for food deliveries. Uber offers both ride-hailing and delivery, meaning robotaxis on its network could shift between the two as demand for each changes, Khosrowshahi said on Wednesday.

“Having delivery and freight as part of our logistics ecosystem gives us an opportunity to actually use these vehicles at a structurally higher utilization than anyone else,” Khosrowshahi said.

While ride-hailing accounted for over half of Uber’s revenue in the fourth quarter, its delivery business grew by 29%, a faster clip than the 18% growth rate its ride-hailing segment posted in the same period.

How efficiently companies use the autonomous vehicles that they put on the streets is one of the challenges hanging over the technology.

Safety is another. Last month, a Waymo car injured a child near a school in Santa Monica, California, the latest in a series of accidents involving self-driving cars. Waymo said it is cooperating with a federal probe into the accident.

While it doesn’t operate self-driving cars directly, Uber is experimenting with ways to train the AI behind robotaxis using data it collects from human drivers, Khosrowshahi said. Uber has a partnership with Nvidia to collect that data, for instance. Last month, Uber said it would launch AV Labs, an arm focused on similar training efforts.

Khosrowshahi said the goal is to make self-driving cars more reliable and avoid situations such as last year’s Waymo blackout in San Francisco, when a power outage prompted the company to suspend services. “The real world can create unexpected circumstances,” he said.

Robotaxis also require infrastructure to store, charge, and repair. Some companies, such as startup Voltera, are building depots for those purposes in anticipation of a robotaxi boom in the coming years.

Have a tip? Contact this reporter at abitter@businessinsider.com or via encrypted messaging app Signal at 808-854-4501. Use a personal email address, a nonwork WiFi network, and a nonwork device; here’s our guide to sharing information securely.




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Lloyd Lee

This ‘driverless car’ startup is doing the one thing robotaxi companies don’t want to be caught doing

In the world of robotaxis, there’s a stigma around remote driving. Are you really “driverless” if there’s a person — even remotely — at the wheel?

One startup is fully embracing it.

Vay is a Berlin-based startup founded by two engineers and a former Zoox employee.


Vay co-founders

Vay cofounders Fabrizi Scelsi, Thomas von der Ohe, and Bogdan Djukic

Vay



The company is taking a somewhat contrarian approach to what it calls a “driverless car.”

Instead of automating the ride-hailing service, which can be technically challenging and costly to scale, Vay wants to rethink how we rent cars.

To do so, Vay wants to leverage remote-driving technology and, eventually, autonomy to deliver cars without humans inside to people who need a private vehicle for less than a day.

Thomas von der Ohe, cofounder and CEO of Vay, told Business Insider that the goal is to be cheaper than an Uber and more convenient than a traditional brick-and-mortar rental program.

“It’s basically by far the most affordable A to B transport,” von der Ohe, a former technical program manager during the early days of Zoox, said. “It’s half the price of Uber and half the price of robotaxis. How it works: We just bring the car, you then drive, and then when you’re done, you don’t have to park.”

Autonomy’s shifting timelines

Von der Ohe spent less than two years at Zoox when the company was just 60 people large and had yet to be acquired by Amazon. The Vay cofounder said he oversaw some of the first public testing of Zoox cars when there were safety drivers inside the vehicle.

At the robotaxi company, von der Ohe said he saw a goal with an ever-shifting timeline.

“It always felt like it was three years out,” he said of autonomous driving. “And then every year it shifted by a year. So we wanted to have self-driving cars everywhere in 2020 at Zoox. And then it was 2021 and so forth.”

Von der Ohe left Zoox in 2018. Instead of fixating on robotaxis, von der Ohe wanted to stay in mobility but work on something that could be faster to bring to market and easier to scale with less capital. Vay was born.

How it works

Customers order a car the same way they hail an Uber or Lyft through Vay’s app. To rent a car, users have to upload a driver’s license and a photo of themselves.


Vay app

Users can order a Vay rental car through a proprietary app.

Lloyd Lee/BI



Vay proposes that users can get a car delivered to them without a driver within minutes, as long as they’re within the service area or geofence. If you’re out of the service area, then you’re out of luck.

Once the car is delivered, the renter takes over.

The startup services Las Vegas, where it manages a fleet of 100 Kia Niros, a compact, all-electric SUV. Each Kia is retrofitted with four cameras. There are no other sensors, von der Ohe said.

The Vay cofounder told Business Insider that the service area is about twice the size of San Francisco.

Inside Vay’s Vegas office, there are about eight driving stations, in which a trained human operator remotely controls Vay’s vehicle fleet. The setup looks like a video game simulation with three computer screens and a disembodied driver’s seat.

A large red button to the left of the driver’s seat activates an emergency protocol during which the car pulls over to the side of the road.


Vay driver simulation

Vincent Reddy, an operations lead for Vay, remotely drives a car.

Lloyd Lee/BI



Vincent Reddy, an operations lead for Vay, said that there are several criteria a remote driver needs to meet, including completing about 1,000 kilometers of remote driving. Reddy remotely drove Business Insider during a demo ride.

“It’s similar to kind of like a high-grade racing sim,” Reddy said of the driving experience. “The thing that feels the most different is not having the feedback of what it feels like driving over bumps and things on the road because the seat doesn’t move. There’s no G-force, or you don’t get the feeling of accelerating or braking.”

To deliver the cars, Vay only uses the remote-driving technology on local roads and stays under 25 mph. The car can go on the highway once the customer takes over the vehicle.

There were no notable incidents during a 10-minute driverless ride around the block of Vay’s Vegas office.

50% cheaper than an Uber

Vay’s value proposition to customers is that the service is cheaper and more flexible than hailing an Uber.

Von der Ohe told Business Insider that the service should be about 50% cheaper than the average Uber ride.


Vay

Vay hands out business cards that advertise a “driverless car” that’s half the price of hailing an Uber.

Lloyd Lee/BI



Users are charged by the minute, with a decreased price if they are parked, in case they, for example, need to grab groceries or hit the gym.

When Business Insider viewed the app, the pricing was at $0.35 per minute while driving and $0.05 per minute while parked. At those prices, a 30-minute drive to and from a destination, including an hour-and-a-half stop, would cost around $25.

When asked if the pricing will change based on demand, von der Ohe said the company doesn’t yet have a pricing mechanism, such as surge pricing, in place, but expects there will be changes to the structure.

The CEO said he can keep the costs low because Vay’s vehicle fleet doesn’t have a complex sensor suite, and the remote operators manage multiple cars.

Von der Ohe said that as of January 2026, there is one remote operator for every 10 vehicles. However, that doesn’t mean a remote driver is operating 10 vehicles at the same time. Instead, a remote operator can deliver one car and immediately move on to the next vehicle.

“So I have much more cars and remote drivers, and that’s why we make it half the price,” he said.

Vay’s future

Vay employs about 200 people and raised more than $200 million, including a $60 million investment from Grab Holdings, the Singaporean tech company that owns Grab, the super app of Southeast Asia.


Vay Kia Niro

Vay’s vehicle fleet is currently made up of 100 Kia Niros.

Lloyd Lee/BI



While von der Ohe told Business Insider that building a fully autonomous ride experience like Waymo is not on Vay’s road map, the CEO said his startup will gradually add autonomous driving features.

“We’re not in competition with them,” von der Ohe said of robotaxi operators.

Since its founding, Vay has provided 35,000 trips, according to the CEO.

He said the service has especially seen high demand during the Consumer Electronics Show.

When Von der Ohe opened the app, the wait time to get a car was 31 minutes.

“It’s extremely busy today already,” he said. “It’s a long way. It should be five.”




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Special delivery: A woman gave birth in a Waymo robotaxi in San Francisco

  • A woman gave birth in a robotaxi in San Francisco earlier this week, Waymo confirmed.
  • Waymo told local media that the robotaxi safely delivered its passengers to the hospital.
  • It’s not the first birth recorded in a Waymo, and with the company expanding rapidly, it may not be the last.

One San Francisco robotaxi arrived at its destination with an unexpected extra passenger on Monday.

A woman in labor gave birth in the back seat of a Waymo robotaxi while traveling to the hospital, the company confirmed in a blog post on Wednesday.

“Some people just can’t wait for their first Waymo ride,” the company said.

A spokesperson for the Google-backed robotaxi firm told The San Francisco Standard, which first reported the news, that Waymo’s remote monitoring team detected “unusual activity” in the backseat of the driverless vehicle.

Employees called 911 once they realised what was happening. But the robotaxi delivered its passengers to the hospital without needing assistance, and was subsequently removed from Waymo’s fleet for cleaning.

Apparently, it’s not the first time someone has given birth in a Waymo, with the company confirming to The San Francisco Standard that a similar incident previously occurred in Phoenix.

Waymo is growing up fast

Waymo has had a big year, with the company’s robotaxis becoming a regular sight on San Francisco’s streets, alongside expansions into new markets in Austin and Atlanta.

On Wednesday, Waymo said it had served over 14 million trips so far this year, and expected to hit 1 million rides a week by the end of 2025.

It hasn’t all been smooth sailing. Last month, Waymo issued a software update to 3,067 robotaxis after reports that its vehicles were driving past stopped school buses, according to a regulatory report filed on Thursday.

Waymo is planning a major expansion next year as it faces competition from Tesla’s nascent robotaxi service, which launched in Austin in June.

The robotaxi company plans to open its driverless ride-hailing service to the public in a host of new cities in 2026, including Miami and Washington, DC.




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