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Amazon Zoox Robotaxis Launch Paid Rides

Wall Street Journal US Business •
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Amazon's Zoox has begun charging for rides in its toaster-shaped, fully autonomous robotaxis in San Francisco and Las Vegas, becoming the first company to offer paid rides in vehicles without steering wheels, dashboards, or pedals. The all-electric cars hold up to four passengers facing each other and can drive bidirectionally. Zoox CEO Aicha Evans said building vehicles from scratch allowed rapid design iteration based on rider feedback. "It takes a lot of imagination, belief, resilience and tenacity to do this when you're going against conventional wisdom," Evans said.

The National Highway Traffic Safety Administration (NHTSA) granted Zoox an exemption to charge for rides in up to 5,000 vehicles over two years, but restricted operation in heavy rain, snow, heavy leaf coverage, or on roads exceeding 45 mph. Riders must receive a message directing them to submit complaints to NHTSA. Zoox currently operates about 100 vehicles assembled at its Fremont, California plant, with capacity for 10,000 annually. Rides cost roughly the same as premium ride-share options.

Amazon acquired Zoox in 2020 for $1.2 billion. After NHTSA objected to Zoox's 2022 self-certification citing glass and reflector issues, the agency granted an exemption last year for free demonstration rides. Zoox has logged over three million driverless miles and carried nearly one million riders. NHTSA is modernizing standards to remove mandates assuming human drivers while developing autonomous vehicle performance standards. Competition remains fierce from Alphabet's Waymo and Tesla's Cybercab production.