Uber's Ambitious Robotaxi Plan: 20,000 Lucid EVs with Nuro's AI Technology

Reviewed byNidhi Govil

5 Sources

Uber partners with Lucid and Nuro to deploy 20,000 autonomous electric vehicles over six years, starting in 2026. The deal involves significant investments and aims to revolutionize ride-hailing with AI-driven robotaxis.

Uber's Bold Move into Autonomous Ride-Hailing

Uber Technologies has announced a groundbreaking partnership with electric vehicle manufacturer Lucid Motors and autonomous driving startup Nuro to deploy a fleet of 20,000 robotaxis over the next six years 12. This ambitious plan marks Uber's latest attempt to establish itself in the autonomous vehicle (AV) space after selling its own self-driving unit in 2020 2.

The Robotaxi Fleet: Lucid Gravity SUVs with Nuro Driver

Source: engadget

Source: engadget

The robotaxi service will utilize Lucid's Gravity SUV, equipped with Nuro's AI-powered autonomous driving technology 13. The Lucid Gravity, known for its advanced technology platform and estimated 450-mile range, will serve as the base vehicle for this initiative 1. Nuro's Driver system will provide Level 4 autonomy, allowing the vehicles to operate without human intervention in most conditions within a defined area 4.

Investment and Deployment Strategy

Uber is making significant investments to support this initiative:

  1. $300 million investment in Lucid Group 25
  2. A "multi-hundred-million dollar" investment in Nuro 25

The deployment of the robotaxi fleet is scheduled to begin in late 2026 in an unnamed major U.S. city 13. Uber plans to expand the service to dozens of global markets over the following six years 3.

Technology and Safety Measures

A prototype of the Lucid-Nuro autonomous vehicle is currently undergoing testing on a closed circuit at Nuro's facility in Las Vegas 13. Nuro will oversee extensive safety checks, including simulations and on-road testing, evaluated across numerous categories 1.

The vehicles will feature:

  • Lucid's advanced electrical and controls architectures 1
  • Nuro's AI-powered Driver system running on Nvidia's DRIVE Thor chip 4
  • Level 4 autonomy capabilities 4

Market Impact and Competition

Source: Quartz

Source: Quartz

This partnership has already had a significant impact on the stock market, with Lucid's shares soaring by over 29% following the announcement 5. The move positions Uber to compete more effectively in the evolving robotaxi market against established players like Waymo and potential entrants like Tesla 25.

Challenges and Skepticism

Despite the enthusiasm surrounding the announcement, some analysts have expressed concerns:

  1. Potential risk to Uber's existing partnership with Waymo 2
  2. Questions about Lucid's ability to scale production quickly enough 2
  3. The overall fragmentation of the AV market and the need for consolidation 2

Broader Implications for Uber's Strategy

Source: Economic Times

Source: Economic Times

This robotaxi initiative is part of Uber's larger strategy to expand its autonomous vehicle offerings globally. The company has also announced partnerships with:

  1. May Mobility for operations in Texas 3
  2. Momenta for European markets 3
  3. Baidu's Apollo Go for mainland China and other non-U.S. markets 1

Conclusion

Uber's partnership with Lucid and Nuro represents a significant step in the company's efforts to bring autonomous ride-hailing to the mainstream. While the initiative faces challenges and skepticism, it demonstrates Uber's commitment to staying at the forefront of transportation technology. The success of this venture could reshape the future of urban mobility and the ride-hailing industry at large.

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