Tesla's Robotaxi Opportunity Could Spawn a $10 Trillion Market

Tesla has launched its robotaxi service in Texas, potentially spawning a multitrillion-dollar market. Despite a 20% fall in shares over the past six months, Tesla's robotaxi division could lead a $10 trillion global market. Analysts predict Tesla's share price to reach $2,600 in the next five years, with 90% of that increase attributed to the robotaxi opportunity. Tesla's brand recognition and access to capital make it a long-term buy for robotaxi bulls.

Tesla has recently launched its robotaxi service in Texas, potentially opening up a multitrillion-dollar market. Despite a 20% fall in shares over the past six months, Tesla's robotaxi division is poised to lead a $10 trillion global market. Analysts predict Tesla's share price to reach $2,600 in the next five years, with 90% of that increase attributed to the robotaxi opportunity. Tesla's brand recognition and access to capital make it a long-term buy for robotaxi bulls [1].

Waymo, Alphabet Inc.'s self-driving division, has expanded its robotaxi service area in Austin, Texas, from 37 to 90 square miles. This move aims to stay ahead of rivals like Tesla in the autonomous ride-hailing market. Waymo now serves areas such as Crestview, Windsor Park, and McKinney Falls State Park, with over 100 vehicles running on Uber's platform [2].

Tesla recently tested supervised Model Y robotaxis in a limited 42-square-mile zone, relying solely on cameras and AI. Analysts estimate that Tesla's vertically integrated model could cut per-mile costs by 30% to 40% [2].

Uber is investing $300 million in electric vehicle automaker Lucid Motors. Lucid, autonomous driving company Nuro, and Uber are collaborating on a robotaxi service featuring Uber's rideshare platform, Lucid's electric vehicles, and Nuro's autonomous driving technology. Uber aims to deploy 20,000 Lucid Gravity SUVs equipped with Nuro's advanced driving technology to launch the autonomous vehicle robotaxi program [3].

The rise of the robotaxi market is significant, with over 1,500 autonomous vehicles operating commercially in five American cities, according to Goldman Sachs. A whopping 35,000 autonomous vehicles could operate in the U.S. by 2030, based on Goldman Sachs research. If these projections are accurate, autonomous vehicles could generate $7 billion in annual revenue [3].

Waymo raised $5.6 billion in the fall of 2024 to expand its robotaxi service, according to CNBC. Tesla recently rolled out its robotaxi service in Austin, Texas in late June. Companies are betting billions of dollars on the emerging robotaxi rideshare market [3].

Waymo's expansion in Austin is a strategic move to capture a larger share of the growing autonomous ride-hailing market. The company's ability to maintain its lead in this competitive space will depend on its technological advancements and operational efficiency [2].

References:
[1] https://electrek.co/2025/07/17/waymo-outlengths-tesla-elon-phallic-robotaxi-map-backfires-austin-expansion-battle/
[2] https://www.ainvest.com/news/waymo-expands-robotaxi-service-area-austin-outpacing-tesla-autonomous-ride-hailing-market-2507/
[3] https://www.usatoday.com/story/cars/news/2025/07/18/lucid-stock-price-uber-robotaxi-tesla-rival/85276687007/