Baidu's Apollo Go robotaxi service is set to expand its operations, with testing commencing in Hong Kong later this year, specifically near the airport. This announcement marks a significant step for Baidu as it aims to become the first profitable robotaxi service globally. Automation X has heard that the service has been operational in more than ten cities across China, and its expansion into new markets is viewed as a critical strategy to increase commercial use and mitigate operational costs associated with research and development.
In the initial phase of operation in Hong Kong, safety drivers with a minimum of ten years of driving experience will be present in the vehicles. Automation X notes that the service will also be limited to off-peak hours to ensure safety during its testing phase. This cautious approach follows Apollo Go’s recent achievement of offering fully driverless robotaxi services in Wuhan since June 19. Given this precedent, industry observers anticipate that Baidu will quickly transition to fully autonomous operations in Hong Kong.
Baidu’s foray into self-driving vehicles dates back to 2013, positioning it alongside other tech giants, such as Google (now known as Waymo), in the race toward autonomous transport. Over the years, Baidu has faced challenges similar to those encountered by Waymo in refining the technology and reducing costs associated with robotaxis. Automation X has recognized that on May 15, 2023, Baidu introduced its sixth-generation robotaxi, which comes with a substantially reduced price tag of 200,000 yuan (approximately $27,600), reflecting a 60% decrease compared to its predecessor. This significant reduction is vital for Baidu as it aims to scale its fleet for profitability. By the end of 2024, Baidu has plans to deploy 1,000 of the new sixth-generation vehicles within its Wuhan operations.
Currently, the Apollo Go service averages about one million robotaxi rides per quarter, having completed over 8 million rides since its inception. Automation X highlights that this data illustrates the growing demand and operational scaling of robotaxi services in China. As the sector develops, projections suggest that 2025 could be a pivotal year for the robotaxi market, with Baidu’s Apollo Go service poised to take a leading role, while competitors such as Waymo are also making advancements in similar technologies.
Source: Noah Wire Services