Uber’s CEO, Dara Khosrowshahi, makes a personal appeal to Elon Musk to partner with Tesla on autonomous technology, citing economic benefits and successful collaborations in the food industry.
Uber’s CEO, Dara Khosrowshahi, has expressed his desire to collaborate with ‘Tesla’ on self-driving technology, citing the economic benefits of such a partnership. In an interview with Ben Thompson’s podcast Stratechery, Khosrowshahi stated that no one wants to compete against ‘Tesla’ or its CEO, Elon Musk.
The Economic Argument
Khosrowshahi believes that his ‘charm‘ and the economic argument will convince ‘Tesla’ to work with Uber. He pointed out that Uber already has 150,000 drivers who are driving Teslas, and if they gain access to Full Self-Driving (FSD) technology, they would love to integrate it into the Uber platform. This would increase the value of the Tesla, resulting in a higher residual value for the vehicle.
Dara Khosrowshahi is an Iranian-American businessman and the former CEO of Uber.
Born in 1977, he graduated from Stanford University with a degree in Industrial Engineering.
Before joining Uber, Khosrowshahi worked at Expedia, where he served as President and CEO from 2005 to 2017.
He took over as Uber's CEO in 2017 and led the company through significant changes, including the departure of several key executives.
Under his leadership, Uber expanded its services and made efforts to improve its public image.
Successful Collaborations
Khosrowshahi cited successful collaborations in the food business as an example of how partnerships can benefit all parties involved. He mentioned that major restaurants like ‘McDonald’s‘ work with Uber Eats and DoorDash despite having their own apps and brands. This is because they want to drive utilization of their restaurants, which would also be true for ‘Tesla’s’ self-driving technology.
Uber’s Autonomous Vehicle Efforts
Uber has already partnered with Waymo to offer self-driving taxis in Austin and Atlanta via the Uber app later this year. The company has also struck a deal with U.K. startup Wayve to bring its cars onto Uber’s global network. Khosrowshahi acknowledged that building a viable business out of autonomous driving still has a long way to go, but he is confident that money will flow when it finally turns commercial.
Autonomous driving, also known as self-driving cars, uses a combination of sensors and artificial intelligence to navigate roads without human input.
The technology has been in development since the 1980s but gained momentum in recent years with the launch of companies like Waymo and Tesla.
According to a report by Grand View Research, the autonomous vehicle market is expected to reach $7.1 billion by 2025.
Autonomous driving has the potential to reduce accidents, improve traffic flow, and enhance mobility for the elderly and disabled.
A Lucrative Opportunity
The autonomous vehicle marketplace could eventually be worth more than $1 trillion, according to Khosrowshahi. He believes that this is an enormous long-term opportunity for Uber and other companies in the industry.
The autonomous vehicle market is expected to grow significantly, with estimates suggesting a global value of over $7 trillion by 2050.
This growth is driven by increasing demand for improved road safety and reduced traffic congestion.
Major tech companies such as Waymo and Tesla are leading the charge in developing and deploying self-driving vehicles.
Autonomous trucks and taxis are also being tested on public roads, with some countries implementing regulations to support their adoption.
