Zoox, the autonomous vehicle subsidiary of Amazon, has begun operating driverless robotaxis on public streets in San Francisco, a city that has become a closely watched testing ground for the technology. The decision places Amazon in a competitive field where Waymo, owned by Alphabet, has established an early lead, with Tesla also positioning itself to enter.
The rollout indicates that the company, purchased for around $1.2 billion in 2020, is now being deployed across a broader operational footprint. The company's fleet consists of autonomous vehicles with a distinctive design that differs from conventional automobiles. The autonomous cars lack both a steering wheel and foot pedals, and the vehicles operate in both directions without a designated front or back, accommodating four passengers in a face-to-face configuration.
Zoox says its autonomous vehicle can travel in any direction, thanks to four-wheel steering and a suspension system engineered from scratch specifically for self-driving use. The vehicle's boxy exterior has drawn comparisons to a household appliance, and Zoox opted to engineer its robotaxi from the ground up, without design concessions to human-operated driving.
The company has logged upwards of three million miles in autonomous operation and transported nearly one million riders. Fare-based rides got underway in Las Vegas, Nevada on August 10, following the firm's receipt of regulatory approval to operate driverless vehicles for commercial purposes. The city represents a broader evaluation ground for the technology, given Waymo's established presence there with an extensive fleet already in operation.
Tesla plans to introduce its custom-designed Cybercab to an autonomous ride-hailing network that already operates Model Y vehicles across Austin, Dallas, Houston, and select areas of Florida. Prior to launching its commercial ride service, Tesla is considering deploying the Cybercab on public roads for internal staff testing. The automaker rolled out its inaugural Cybercab unit at the Texas Gigafactory in February 2026, employing an "Unboxed" manufacturing approach that builds multiple vehicle components simultaneously.
The company assembles its autonomous vehicles at a 220,000-square-foot facility in Hayward, California, with an annual production capacity exceeding 10,000 units. Around 100 vehicles from the fleet are presently operating on public roads. The company has completed a multi-stage regulatory review and holds authorisation to deploy as many as 5,000 vehicles within defined road and weather parameters. Under state law, a portion of Tesla's autonomous ride-hailing fleet is still required to have a human operator present for oversight purposes.
According to Mordor Intelligence, worldwide ride-hailing revenues are forecast to climb from $224.84 billion in 2025 to $266.28 billion the following year, reaching $513.77 billion by 2031, reflecting a compound annual growth rate of 14.05%. Conventional ride-hailing accounted for nearly three-quarters of 2025 revenue, while autonomous taxi operations are growing at an annual pace of 16.6%, outpacing every other segment. As of 2025, the Asia Pacific region holds the largest share of the overall market at 38.44%, with North America serving as the primary arena for technological development and testing.
Projections from equity analysts following Amazon point to revenue climbing from roughly $717 billion in 2025 to approximately $1.38 trillion by 2030. Forecasts indicate that earnings per share could rise from $7.17 to $19 on an adjusted basis. Of the 57 analysts who track Amazon's stock, 49 assign it a "Strong Buy" designation, six a "Moderate Buy," and the remaining two a "Hold." Analysts' consensus price target of $326.49 implies a roughly 23% gain over the stock's current trading value.
