A Robotaxi is a self-driving taxi that operates without a human driver. Tesla's Robotaxi service uses the company's Full Self-Driving (FSD) technology to allow vehicles to pick up and drop off passengers autonomously. This represents a major step toward commercializing autonomous vehicle technology and could create new revenue streams for companies beyond just selling cars.

What is LiDAR and why is it important for autonomous vehicles?

LiDAR (Light Detection and Ranging) is a sensing technology that uses laser light to measure distances and create detailed 3D maps of a vehicle's surroundings. It's considered essential by many autonomous vehicle developers because it provides precise depth perception and works in various lighting conditions. Several companies in this stock group specialize in LiDAR technology, which helps self-driving cars "see" and navigate safely.

How do GPUs relate to self-driving cars?

GPUs (Graphics Processing Units) are powerful computer chips that excel at processing large amounts of data simultaneously. Self-driving cars generate massive amounts of data from cameras, sensors, and LiDAR that must be processed in real-time. Companies like NVIDIA provide specialized GPUs that run the complex AI algorithms needed for autonomous vehicles to perceive their environment, make decisions, and navigate safely.

What are ADAS systems?

ADAS stands for Advanced Driver Assistance Systems. These are technologies that help drivers with certain aspects of driving, like adaptive cruise control, lane-keeping assistance, automatic emergency braking, and parking assistance. ADAS represents the stepping stones toward fully autonomous vehicles, with each level providing more automation. Companies like Mobileye (MBLY) specialize in these systems, which are becoming standard in modern vehicles and form the foundation for future self-driving capabilities.

How might Tesla's Robotaxi expansion affect other companies?

Tesla's Robotaxi expansion could create a ripple effect across multiple industries. Component suppliers for cameras, sensors, and computing hardware could see increased demand. Software developers specializing in navigation and safety systems might experience growth. Additionally, as autonomous technology becomes more mainstream, it could accelerate adoption by other automakers, further benefiting the entire supply chain represented in this stock group.

15 handpicked stocks

Tesla's Robotaxi Rollout

This carefully selected group of stocks represents companies that could benefit from Tesla's expansion of its Robotaxi service. Our professional analysts have identified opportunities across the autonomous vehicle ecosystem, from vehicle manufacturers to component suppliers and software developers.

Han Tan | Market Analyst

Updated 2 days ago | Published at जुलाई 11