Tesla CEO Elon Musk has promised a brand new sort of futuristic car devoted to altering the rideshare business—the "robotaxi," which he claims can be cheaper than driving the bus or subway.

On the Tesla Q1 2022 earnings name, Musk introduced that the corporate is engaged on an electrical robotaxi car and that it'll attain quantity manufacturing in 2024. Musk first talked about the robotaxi about two weeks in the past on the Tesla Texas Gigafactory grand opening, hinting it might look "fairly futuristic."

"We're additionally engaged on a brand new car that I alluded to on the Giga Texas opening, which is a devoted robotaxi. It'll be extremely optimized for autonomy—which means it won't have a steering wheel or pedals," Musk stated.

With out going into too many particulars, the enterprise mogul additionally alluded to "different improvements" surrounding the car he thinks can be thrilling.

Whereas Uber and Lyft have been dominating the rideshare business, Musk stated the robotaxi can be considerably cheaper than each providers.

Pricing for Uber and Lyft are pretty related, beginning at $1 in the beginning of the trip, with a $1.50 cost per mile together with a 25-cent payment per minute, in accordance with tech web site TheStreet. Nevertheless, drivers can set off a surge value improve when site visitors is heavy and through high-demand instances.

Elon Musk
Tesla CEO Elon Musk has promised the "robotaxi," which he says can be cheaper than driving the bus or subway. Above, Musk attends the official opening of the brand new Tesla plant on March 22, 2022, close to Gruenheide, Germany. Getty Pictures

Musk stated the price of a robotaxi could be significantly decrease. "I feel particularly with the robotaxi and autonomy, we'll find yourself offering shoppers with by far the bottom price per mile of transport that they've ever skilled," Musk stated. "With the robotaxi, like possibly 5 to 10 instances or price per mile, it is actually fairly substantial."

He stated that the trip could be even cheaper than a bus ticket—which has a mean fare per journey of $1.44, in accordance with the American Public Transportation Affiliation.

" a few of our projections, a robotaxi trip will price lower than a bus ticket—a backed bus ticket or a subway ticket."

Will probably be some time earlier than the general public can take a sneak peek on the car. Musk stated the official product announcement will not be launched till someday subsequent 12 months.

"We do not wanna soar the gun on an thrilling product announcement an excessive amount of, so I feel we'll purpose to do a product occasion for robotaxi subsequent 12 months and get into extra element," Musk stated on the earnings name. "However we're aiming for quantity manufacturing in 2024."

Newsweek reached out to Tesla for remark.