Business tycoon Elon Musk has officially confirmed Tesla’s plans to license its Autopilot/Full Self-Driving package to a “major” automaker, revealing that negotiations are now at the “early” stage.
CEO Musk’s recent remarks
The Tesla boss reiterated his ambition of licensing the automaker’s self-driving technology to its rivals before he ended his opening remarks at the company’s Q2 2023 earnings call.
It is worth noting that CEO Musk has been talking about this advancement as of late. Last month, he expressed in a Twitter reply that he is “happy to license Autopilot/FSD or other Tesla technology.”
However, this recent remark is different from the previous ones as CEO Musk officially confirmed that Tesla is now in “early talks” with a “major OEM” for a potential Autopilot/Full Self-Driving package licensing.
It must be noted that installing Tesla’s self-driving tech into its rivals’ EVs would be complex. In order to do that, Tesla needs to also incorporate its self-driving computer and several cameras across each vehicle at particular angles.
In addition, Tesla’s camera-based strategy in its self-driving tech is also remarkably different from most automakers employing sensors like lidar. Meanwhile, other automakers have a different strategy for developing purpose-built autonomous EVs, including GM’s Cruise. However, their self-driving technologies can only reach level 2 or 3 autonomous capabilities on consumer vehicles.
In contrast, Tesla strongly contends that its camera-based approach will aid the company in reaching level 4 or 5 autonomy on consumer vehicles via software updates. It would be interesting to see the Musk-led automaker actually achieve this.
See Also:
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- Tesla Chief updates his outlook for the coast-to-coast FSD demonstration
- Tesla discreetly tests FSD software in Australia, per report
- Tesla offers $1000 off and a free three-month trial of FSD under its referral program
- Tesla officially begins FSD Beta v11.3.2 deployment
Tesla’s strategy of licensing its Autopilot/Full Self-Driving package to a major automaker would undoubtedly establish a new source of revenue for the automaker beyond its electric vehicle and energy offerings. In effect, Tesla’s financial standing would improve further, especially when more OEMs adopt its Autopilot/Full Self-Driving package.
