Uber is investing $300 million in Lucid, a luxury electric vehicle maker, to deploy over 20,000 robo-taxis over the next six years as the demand for driverless cars increases. Nuro, an autonomous vehicle startup, has been named to develop the self-driving technology that Lucid will use, also receiving a multi-hundred-million-dollar investment.
In a press release, Uber CEO Dara Khosrowshahi said, “Autonomous vehicles have enormous potential to transform our cities for the better. We’re thrilled to partner with Nuro and Lucid on this new robo-taxi program, purpose-built just for the Uber platform, to safely bring the magic of autonomous driving to more people across the world.”
In an interview with CNBC, Lucid interim CEO Marc Winterhoff called the partnership an opportunity for the electric vehicle maker to compete in a “completely new, addressable market it has yet to penetrate.” The robo-taxi service is expected to launch in a still unnamed major US city next year, with plans to expand globally.
Nuro, backed by Google and the SoftBank Vision Fund, will provide “level 4 self-driving system” software for the fleet of cars. The technology can drive passengers under normal traffic and weather conditions without a human behind the wheel.
Lucid said the 450-mile range for its Gravity vehicles should help cut costs and charge times while improving accessibility for customers. CEO Marc Winterhoff said, “We’ve been chosen because of our EV technology leadership.” Lucid stock popped up 36% on Thursday.
Testing for the first Lucid-Nuro prototype vehicle is underway on a closed circuit at Nuro’s Las Vegas-based proving grounds. Nuro explained to CNBC, “The deal is a blueprint for a robo-taxi program that’s both commercially viable and globally scalable.”
