Tesla predicts robotaxi imminent

Chief executive Elon Musk said Tesla Inc. robotaxis with no human drivers would be available in some markets next year thanks to exponential improvements in technology.

“Probably two years from now we’ll make a car with no steering wheels or pedals,” he predicted, while acknowledging he often missed deadlines.

Musk also unveiled on Monday a microchip for self-driving vehicles that the electric car company hopes will give Tesla an edge over rivals and persuade investors its massive investment in autonomous driving will pay off.

The presentation comes two days before Tesla is expected to announce a quarterly loss on fewer deliveries of its Model 3 sedan, which represents Tesla’s attempt to become a volume carmaker.

Probably two years from now we’ll make a car with no steering wheels or pedals.

Global carmakers, large technology companies and an array of startups are developing self-driving — including Alphabet Inc’s Waymo and Uber Technologies Inc. — but experts say it will be years before the systems are ready for prime time.

Musk touted a much faster time frame. “The fundamental message consumers should be taking today: It’s financially insane to buy something other than a Tesla. It’s like buying a horse,” saying Tesla was the only company to have a full self-driving suite of hardware.

All Teslas being produced today have the new chip and the company is about halfway through the design process for the next generation chip, which would be about three times better than the current system, Musk said.

Tesla has been working on a self-driving chip since 2016 and Musk had previously forecast that cars would be fully self-driving by 2018, a target Tesla has missed.

Investors appeared unmoved by the chip announcement but shares rose slightly in after-hour trading following the announcement of the robotaxis.

“A year from now we’ll have over a million cars with full self-driving, software, everything,” he predicted.