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Tesla Rolls Out Cybercab
Tesla has officially kick-started its autonomous-vehicle era with the creation of the Cybercab… and is betting the whole company on its success.
The Big Bet: Tesla is positioning its “Cybercab” as its make-or-break product, even canceling production of two other vehicles to put all the company’s resources into it. If successful, it could evolve Tesla beyond being just a car company. If it doesn’t… Tesla may totally lose the lead it had in the EV sector.
Behind The Wheel: The first Cybercab was officially completed last month at Tesla’s plant in Austin, Texas… and begins mass production next month.
The car doesn’t have a steering wheel, pedals, or a rearview mirror, and will rely fully on the company’s Full Self-Driving software.
CEO Elon Musk has suggested it could cost as little as $30,000 and would be available to taxi-fleet operators and for private ownership (yes, you can buy a Cybercab).
It’ll also be used for Tesla’s [in-the-works] rideshare service, which has recently started operating in San Francisco and Austin.
Final Destination: Musk says that the company will produce two million Cybercabs annually… but there’s just one problem: Tesla hasn’t received approval from the National Highway Traffic Safety Administration to sell these vehicles. In fact, WSJ reports that the automaker hasn’t even applied for the exemption needed to sell any cars that don’t include the typical components required to operate (steering wheel, pedals, etc.).
Without that exemption, Tesla has to prove the vehicle meets all federal safety regulations… and we know Tesla’s complicated relationship with that. Failing to do so could lead to significant fines and lawsuits if the cars aren’t immediately recalled and repaired. We have a feeling Tesla’s legal issues are far from over.
Next Trip: Even if Tesla gets all the necessary approvals to sell the Cybercabs, the company may need to mount the largest marketing campaign in its history to convince people to buy a car they can't drive themselves.
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Today’s email was written by David Vendrell.
Edited, Polled, and Copy-edited by Nick Comney.
Published by Darline Salazar.