How Tesla And Owners Will Make Money from FSD and Robotaxi Networks

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CernBasher is a financial advisor who had detailed financial and operational analysis of FSD, Robotaxi and humanoid robot. Cern is the co-founder and investment officer of Brilliant advice. What he shares on X and Youtube is not financial advice. Cern talks with Teslafix about the significant impact FSD technology may have on Tesla’s financial future and the automotive industry’s shift towards autonomous driving.

Bots and autonomous vehicles are two examples of real world AI – AI systems that can take in images in real-time and act accordingly (propelling and steering a vehicle or moving the limbs of a bot), while handling the messiness and unpredictability of the real world.

Today’s LLMs are great tools, but everyone knows how they hallucinate and confidently produce false results (but getting better all the time). While a “little creativity” is great for artists and writers, stretching the truth doesn’t work so well for lawyers or doctors.

And, when it comes to operating in the real world the tolerance for hallucinating is very low – as lives are at stake.

It’s interesting to note that investors, as excited as they are about AI (bidding up the stocks of Nvidia, Microsoft & Meta), they seems to be unreasonably dour on the prospects of real world AI. It’s these types of disconnects that create opportunities for investors – remember just over a year ago (late 2022) when investors were somber about Nvidia’s prospects over weak demand for gaming chips – how times quickly change!

With FSD, Tesla is working on a difficult real world AI problem – getting a vehicle to autonomously drive safer than a human. Actually the bar is set higher than just driving safer than a human, it probably needs to be 10x safer than a human.

The good news is that 10x safer than a human is possible – especially when you consider how dangerous roadways are (worldwide over 1 million people die each year as a result of road traffic crashes).

Slowly, but surely, Tesla’s autonomous driving technology is getting better and better, and one day we will all see how good FSD really is – and Tesla’s Robotaxi network can finally materialize.

Cern looks out to that day and discusses three different Robotaxi models, exploring the economics of this future real world AI business…

There are three likely simultaneous ways that robotaxi will be deployed. Uber, Mr Green, car rental companies other large third parties will operate cars with Tesla FSD. Individual owners of Tesla cars will can operate Tesla FSD in a Tesla robotaxi network or through third parties. Tesla can operate their cars in a FSD/Robotaxi network.

5 thoughts on “How Tesla And Owners Will Make Money from FSD and Robotaxi Networks”

  2. 10X better than a human, is very good, but it still means there will be accidents and deaths.
    If accident victims and their families sue FSD makers, and sympathetic juries award them millions per accident then FSD is money losing venture for the FSD makers. Juries have been known to go insane with monitory ‘punishment’ to large companies for ‘harming’ poor victims to the tune of many millions.
    It WILL happen that a self-driving car is responsible for an accident that kills several children.
    Even though it will be provable that the car really is 10x safer than a human, juries love to ‘punish’ rich companies that ‘harm’ innocents.
    The maker of the FSD car needs legal protection or else it can be sued out of existence.
    As soon as million dollar awards are made, every scam-artist out their will be trying for a piece of the pie.

    • True. Until legislation is added that acknowledges the safety of such systems over human operators, and protects those companies that provide those systems, they will be sued out of existence.

      To misquote: Perfect is the enemy of better.

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