Zoox’s expansion to new cities and markets is currently outpacing Tesla, which appears to have again overpromised and underdelivered for investors. While Tesla’s robotaxi pilot in Austin only launched last June, CEO Elon Musk had predicted that its robotaxi program would serve half the U.S. population by the end of 2025.
Worse yet, per Tesla’s own data early this year, its robotaxis were performing significantly worse than human drivers and had a crash rate much higher than key competitor Alphabet’s Waymo. A recent analyst note from Bank of America estimated that Tesla’s robotaxi accounts for a massive 52% of its overall valuation currently, with automotive checking in at only 21% and Optimus a paltry 2%. Falling behind in robotaxi development is not ideal for investors.
So, we’ve got Waymo at a clear number 1, Zoox at number 2, and Tesla bringing up the rear in the Robotaxi race. I suspect Zoox will continue to put distance between itself and Tesla.
If you value Robotaxi at 52% of Tesla, that would put Robotaxi’s valuation at $619 billion. The Bank of America note that came out around March 4th valued Robotaxi at $844 billion (according to a Google search).
Those numbers are wildly higher than Waymo’s $126 billion valuation. Talk about a bubble!
Speaking of bubbles, for a person with such a dramatically negative view of Tesla, you sure spend a lot of time and energy posting on the Tesla board … wonder why?