Revenue Forecast

The revenue estimate for the base year 2023 is $84.3 million, with a CAGR of 74.8% for the study period 2023–2035.

Competitive Intensity

Why:

• The race to develop an autonomous driving system that not only mimics human driving behavior but also exceeds humans when it comes to safety is the main reason why the robotaxi industry is intensely competitive.
• The development of such systems requires significant human resources, data, vehicles, expensive equipment, and years of testing. As a result, stakeholders cannot afford to fall behind.

Frost Perspective:

• The robotaxi industry's competitive intensity has pushed companies to accelerate real-world testing with passengers onboard.
• Autonomous driving systems have become a strategic technology, and China (among several other nations) is open to supporting quicker development and testing.

Internal Challenges

Why:

• Enormous monetary resources are required to develop robotaxis, and a return on investment is not guaranteed for several years or even a decade.
• For many automotive OEMs and technology companies, the cost of robotaxi development competes with the funds required for other verticals, such as the development of electric vehicles (EVs) and research into artificial intelligence (AI).

Frost Perspective:

• Growing delays in robotaxi commercialization, partly due to the technology’s complexity and partly due to the regulatory ambiguity, have pushed several automotive OEMs to pull the plug on robotaxi programs.
• Robotaxis could be a winner-takes-all industry, and automotive OEMs are waiting for the industry to mature and then license it from independent developers.

Innovative Business Models

Why:

• Robotaxis can fundamentally change how taxi, carsharing, and ridehailing business operate, replacing them with their own unique business model.

Frost Perspective:

• A robotaxi’s self-driving capabilities allow it to adapt to different passenger-carrying roles. The vehicle can be used as a personal passenger vehicle, as part of a shared car fleet, as a vehicle that can be hailed, and as a vehicle for pooling rides.
• This creates an opportunity for a new type of automotive ownership business model, and private customers can subscribe to the vehicle using them. The vehicle can, in turn, be sublet for fare payment.

Scope of Analysis

• This study provides an  examines its current state, with a focus on factors that have helped the industry lead growth in the self-driving vehicle space.
• It offers an overview of robotaxis, definitions, types, stakeholders, fleets, and revenue forecasts, and it deep dives into trends, business models, drivers and restraints, applications, regional analysis, case studies, and company profiles.
• It also delves into the economic, regulatory, and funding factors that will determine the industry’s future course and growth.
• Regional outlook and deep dive are done only for Europe, North America, and China. For APAC, the study focuses on 3 subregions—China, South Korea, and Japan—as they are likely to be the fastest-growing subregional markets for robotaxis.

Definition and Industry Segmentation

• Robotaxis are defined as vehicles capable of Level 4 automation; they can carry up to 4 passengers. Robotaxis can be hailed digitally through ridehailing apps; passengers are charged per ride.

Industry Segmentation

Self-driving Vehicles

• Robotaxis
• Autonomous Shuttles

Competitive Environment

Key Competitors

• Pony.ai
• WeRide
• Waymo
• Cruise
• Zoox, Inc
• Mobileye Global Inc
• Sixt SE
• Oxa
• Volkswagen Group
• Baidu, Inc
• Pony.ai
• AutoX
• Momenta
• DeepRoute.Ai
• Didi Autonomous Driving