Latest news with #Robotaxis
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Business Standard
10 hours ago
- Automotive
- Business Standard
Tesla joins Austin's self-driving race with launch of Robotaxi service
Austin is known for live music, Texas' premier public university and being home to tech companies. It is also becoming a laboratory for autonomous vehicles. Driverless Waymo taxis, owned by Google's parent company, regularly drop off diners at Austin's famous barbecue joints. Box-shaped, four-wheeled robots operated by Avride, a start-up working with Uber Eats, deliver Thai takeout to customers downtown. Zoox, owned by Amazon, and Volkswagen are separately testing autonomous taxis here. Tesla, the electric car company based in Austin, recently joined the party, rolling out self-driving Model Ys ahead of a taxi service that is expected to begin offering rides as soon as Sunday. The vehicles, which the company calls Robotaxis, are part of an audacious effort by Elon Musk, Tesla's chief executive, to leap ahead of Waymo, which dominates a nascent business that someday could be worth tens of billions of dollars and perhaps much more. But the busy streets of Austin show that Tesla will face significant competition and other challenges. It will have to engage in painstaking experimentation to perfect its technology, which some autonomous-driving experts have criticised for having fewer safeguards than those operated by Waymo and other companies. Also, Tesla is starting from behind. Waymo has been driving paying passengers for years in Phoenix, San Francisco and Los Angeles, and started its commercial service in Austin in March in partnership with Uber. Waymo said on Wednesday that it was applying for a permit from New York City to offer rides with a person behind the wheel. A change in state law would be required for fully autonomous rides. A small fleet of Tesla Robotaxis will begin carrying passengers in Austin on June 22, Musk said on X last week but added the company may delay the start of the service. But analysts expect the cars will be available only to company employees or invited guests. The service will probably not be available to the general public for several months, analysts said. Tesla is adapting its most advanced driver assistance software, already offered as an option on the cars it sells, to operate without human intervention. If this approach works, the company could quickly roll out driverless taxis around the world. Musk has said a software update could allow hundreds of thousands or even millions of existing Teslas to operate as autonomous taxis, making cheap driverless rides ubiquitous. But the approach Tesla is taking is unusual. Waymo and other companies working to offer self-driving taxi services have been developing their technologies for years, painstakingly mapping streets and training their software to avoid hitting pedestrians, cyclists, garbage trucks, fire engines and all manner of other things found on public roads. 'FSD is an immature system,' said Matthew Wansley, a professor at Cardozo School of Law in New York, referring to what Tesla calls its Full Self-Driving (Supervised) software. Tesla did not respond to a request for comment. Another challenge for Tesla is that its self-driving system is under investigation by federal officials. The National Highway Traffic Safety Administration is looking into whether Tesla's technology was responsible for crashes in conditions where the road was obscured by fog, dust, bright light or darkness. One crash led to the death of a pedestrian.
Yahoo
17 hours ago
- Business
- Yahoo
OpenAI Changes Price Structure for Business Version of ChatGPT
OpenAI is changing how it sells the business version of its ChatGPT chatbot, amid increasingly heated competition in the artificial-intelligence space. Previously, the U.S. AI giant sold its enterprise product at a fixed price. Now, its pricing structure has changed to include a credits system that clients can use to upgrade to more advanced tools and add more features, according to a person familiar with the matter. The Biggest Companies Across America Are Cutting Their Workforces Microsoft Plans to Cut Thousands More Employees All the Hollywood Action Is Happening Everywhere But Hollywood The Fed Waits Out the Tariff Economy The Path to Record Deficits The price for ChatGPT Enterprise varies based on how many credits the user buys, according to this person, allowing more companies to use the product across their workforce. Technology news outlet the Information reported on Wednesday that OpenAI has started selling discounted ChatGPT subscriptions, with price cuts ranging between 10% and 20%. Pricing for ChatGPT Enterprise isn't publicly available. OpenAI's rise has driven fierce competition in the AI industry. The company hit $10 billion in annual recurring revenue solely from its products as of June, driven by the growth of ChatGPT. News Corp, owner of Dow Jones Newswires and The Wall Street Journal, has a content-licensing partnership with OpenAI. Write to Kimberley Kao at Fed Holds Rates Steady and Keeps Door Open to Cuts Stablecoin Legislation Will Juice Demand for Treasurys—to a Point Waymo Wants to Bring Its Robotaxis to New York City QXO Proposes $5 Billion Acquisition of GMS What UnitedHealth Can Do to Revive Its Battered Stock Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Automotive
- Yahoo
Archer Aviation Is Betting Big on Its Fledgling Defense Business. Does That Make ACHR Stock a Buy Here?
Valued at a market cap of $5.5 billion, Archer Aviation (ACHR) designs and develops aircraft and related technologies in the U.S. It is a prominent player in the emerging electric vertical takeoff and landing (eVTOL) industry, and has struck commercial deals aimed at transforming urban air mobility (UAM). Although its flagship eVTOL is still going through rigorous testing and securing regulatory approval before commercial launch, Archer is working to secure business in advance. And, in recent months, the company is also quickly building out its defense business. Trump Is Giving Tesla's Robotaxis a Leg Up Ahead of June 22. Should You Buy TSLA Stock Now? Dear Nvidia Stock Fans, Mark Your Calendars for July 16 The Trump Family Is Betting Big on Mobile Phones. Should Apple Stock Investors Be Worried? Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! Archer Aviation is strategically pivoting toward defense contracts as commercial air taxi deployment faces extended timelines. In fact, CEO Adam Goldstein recently predicted that defense could become 'the biggest part of our business' in the near term. The electric aircraft manufacturer's shift reflects broader industry trends, as air taxi developers confront slower-than-expected progress in launching passenger services. On the flip side, President Donald Trump is ramping up military spending with a focus on defense innovation. This presents Archer with an opportunity to capitalize through strategic partnerships, including its collaboration with weapons maker Anduril Industries to develop hybrid-fueled military aircraft. Archer secured its first major defense contract in 2023, partnering with the U.S. Air Force to provide quieter, cost-effective eVTOLs for supply delivery and non-combat applications. This positions the company to capture immediate revenue while commercial markets mature. Bloomberg Intelligence analysts project that fewer than 30,000 air taxis will be flying by 2040, a level that would be unprofitable, requiring companies to diversify into defense, cargo, and hybrid variants. This tepid forecast validates Archer's defense-focused approach, as traditional air taxi timelines extend beyond initial projections. The defense pivot offers Archer near-term revenue potential while maintaining long-term commercial opportunities. However, investors should consider execution risks and the company's ability to navigate defense contracts and eventual commercial scaling. Archer Aviation ended Q1 2025 with more than $1 billion in cash, providing it with a substantial runway for its ambitious commercialization plans. Its UAE deployment remains on track for late 2025, with the first Midnight aircraft currently in flight testing before delivery. The company has secured government backing from the Abu Dhabi Investment Office, a regulatory pathway approval from the UAE General Civil Aviation Authority, and an operational partnership with Abu Dhabi Aviation as its first Launch Edition customer. Critical infrastructure is also advancing, with the UAE's first hybrid heliport conversion approved and pilot training underway at Etihad Aviation Training. Notably, Archer Aviation has forged a foundational AI partnership with Palantir (PLTR) to develop next-generation aviation software. This collaboration will focus on enhancing manufacturing scalability, movement control, and route planning. Additionally, Archer announced plans with United Airlines (UAL) for a New York City air taxi network, aiming to replace 1- to 2-hour drives with 5- to 15-minute flights between Manhattan and nearby airports. Q1 results showed controlled spending, with total operating expenses of $144 million and a net loss of $93.4 million, an improvement from the prior-year period. The company raised $301.8 million in gross proceeds during the quarter, strengthening its balance sheet for upcoming commercial operations. With 15% of FAA compliance verification documents approved and successful engine failure testing demonstrating aircraft redundancy, Archer appears well-positioned for its commercial aviation transformation. While still in the pre-revenue stage, Archer is focused on increasing sales from a forecast $144 million in 2026 to $1.36 billion in 2029. Moreover, the company is expected to turn profitable in 2029, with earnings per share of $0.33. If the aviation stock is priced at 10 times forward sales, it will have a market capitalization of $13.6 billion, indicating upside potential of over 100% from current levels. Out of the nine analysts covering ACHR stock, five recommend 'Strong Buy,' two recommend 'Moderate Buy,' and two recommend 'Hold.' The average target price of Archer Aviation stock is $12, indicating upside potential of roughly 20% from current levels. On the date of publication, Aditya Raghunath did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
New York Times
2 days ago
- Automotive
- New York Times
Tesla's Robotaxi, Long Promised by Elon Musk, Joins a Crowded Field
Austin is known for live music, Texas' premier public university and being home to tech companies. It is also becoming a laboratory for autonomous vehicles. Driverless Waymo taxis, owned by Google's parent company, regularly drop off diners at Austin's famous barbecue joints. Box-shaped, four-wheeled robots operated by Avride, a start-up working with Uber Eats, deliver Thai takeout to customers downtown. Zoox, owned by Amazon, and Volkswagen are separately testing autonomous taxis here. Tesla, the electric car company based in Austin, recently joined the party, rolling out self-driving Model Ys ahead of a taxi service that is expected to begin offering rides as soon as Sunday. The vehicles, which the company calls Robotaxis, are part of an audacious effort by Elon Musk, Tesla's chief executive, to leap ahead of Waymo, which dominates a nascent business that someday could be worth tens of billions of dollars and perhaps much more. But the busy streets of Austin show that Tesla will face significant competition and other challenges. It will have to engage in painstaking experimentation to perfect its technology, which some autonomous-driving experts have criticized for having fewer safeguards than those operated by Waymo and other companies. Also, Tesla is starting from behind. Waymo has been driving paying passengers for years in Phoenix, San Francisco and Los Angeles, and started its commercial service in Austin in March in partnership with Uber. A small fleet of Tesla Robotaxis will begin carrying passengers in Austin on June 22, Mr. Musk said on X last week but added that the company may delay the start of the service. But analysts expect the cars will be available only to company employees or invited guests. The service will probably not be available to the general public for several months, analysts said. Want all of The Times? Subscribe.
Yahoo
2 days ago
- Business
- Yahoo
Big Profit Stocks on Sale: 3 Picks at Yearly Lows.
If I were to classify my investment style, I would consider myself a contrarian, rather than a value or growth investor. David Dreman first published Contrarian Investment Strategy: The Psychology of Stock Market Success in 1979. It was one of the first books that got me hooked on investing in the 1980s. The other two: The Intelligent Investor by Benjamin Graham and Peter Lynch's One Up on Wall Street. These three books showed me that you could make money investing. Trump Is Giving Tesla's Robotaxis a Leg Up Ahead of June 22. Should You Buy TSLA Stock Now? Dear Nvidia Stock Fans, Mark Your Calendars for July 16 The Trump Family Is Betting Big on Mobile Phones. Should Apple Stock Investors Be Worried? Stop Missing Market Moves: Get the FREE Barchart Brief – your midday dose of stock movers, trending sectors, and actionable trade ideas, delivered right to your inbox. Sign Up Now! 'Dreman believed that investors are prone to overreaction, and, under certain well-defined circumstances, overreact predictably and systematically,' Validea's page about Dreman states. 'They typically overvalue the popular stocks considered the 'best', and undervalue those considered the 'worst', often going to extremes in these over- and under-valuations.' Unfortunately, because growth stocks have ruled the roost for most of the past two decades, contrarian investors haven't fared too well. Eventually, Dreman's philosophy will deliver the goods. But I digress. My commentary today focuses on three profitable companies whose stocks hit new 52-week lows on Tuesday. All of them have the potential to deliver outsized returns over the next 3-5 years for investors who are tolerant enough to stay the course. Here's the how and why for each. Thermo Fisher Scientific (TMO) hit its 24th 52-week low of the past 12 months yesterday. The maker of scientific instruments' stock is down 31.3% over this period and is trading at its lowest level since July 2020. Admittedly, I'm not a big follower of healthcare stocks, but it's a well-known name in the sector, so I'm curious what's holding it back. Analysts like it. Of the 24 covering its stock, 20 rate it a Buy (4.54 out of 5) with a mean target price of $554.46, a level it traded at as recently as February. These same analysts expect it to earn $22.32 a share in 2025 and $24.68 in 2026. Its shares trade at 17.5x and 15.8x these estimates. Thermo Fisher's current enterprise value of $175.73 billion is 4.35 times its trailing 12-month (TTM) revenue. Its EV/revenue multiple hasn't been this low since March 2017. As stated in its Q1 2025 press release, the company continues to allocate capital efficiently, spending $4.1 billion on acquiring Solventum's Purification and Filtration business, repurchasing $2 billion of its stock, and increasing its dividend by 10%. Routinely, it generates between $6 billion and $7 billion in annual free cash flow. Expect it to continue buying back its stock until the next phase of growth kicks in. Copart (CPRT) hit its 14th 52-week low of the past 12 months yesterday. The provider of online vehicle auctions for insurance companies, as well as other related businesses such as banks and rental car companies, and individuals, has seen its share price fall by 13% over the past year. However, over the past five years, it has increased by 127%, outperforming the S&P 500 by 37 percentage points. Copart reported Q3 2025 results on May 22. While they were healthy on both the top and bottom lines, investors were more focused on the real or perceived headwinds caused by tariffs, knocking its stock 21% lower in the weeks since. Because it trades at a premium — 28.3 times its 2026 earnings per share of $1.70 — investors felt that might be too much to pay for a company that tariffs could hurt. However, Copart management believes that replacement parts, which are more expensive due to tariffs, will lead more insurers to opt for writing off a car in a collision rather than paying the higher costs of repairing it, converting tariffs into a win for them. Regardless of the tariff situation, analysts still support it, with seven of 12 rating it a Buy (4.00 out of 5), and a median target price of $65, which is well above its current share price, according to MarketWatch. Copart offers a valuable and essential service to its customers. The need, regardless of AI, persists. That's a significant reason why it has delivered an annualized return of 21% since its initial public offering in 1994. It's a keeper. Watsco (WSO) hit its 13th 52-week low of the past 12 months yesterday, and Pool Corp (POOL) hit its 9th 52-week low. I know I said I'd comment on three stocks hitting new 52-week lows. However, both of these companies should be positively affected by climate change, so I included both. In Watsco's case, it helps homeowners and businesses stay cool in the summer and warm in the winter by distributing HVAC (heating, ventilation, and air conditioning) equipment, parts and supplies. It is the largest distributor in the Americas. Pool, as its name implies, distributes pool equipment and supplies from 445 sales centers across North America, Europe, and Australia. It is the world's largest wholesale distributor of its kind. Its products also help customers stay cool. Both businesses provide products and services that, although not impossible to live without, are pretty essential. In Watsco's case, summer in America gets stinking hot. Air conditioning is a must-have, especially for senior citizens. As for Pool, sure, you can let your pool get dirty, but eventually, you're going to sell your house, and when you do, its products will help make the sales process work like a charm. Of the two, Pool's business has more recurring revenue, but Watsco's high-ticket items make up for this. The former has grown its annual revenue by 9.4% on a compounded basis, compared to 9.9% for the latter. That said, Pool's revenues have returned to pre-COVID numbers. In 2022, its revenues hit a record high of $6.18 billion. As of March 31, the TTM revenue was $5.26 billion, approximately the same as in 2021. Meanwhile, Watsco's revenues have grown from $5.05 billion in 2020 to $7.58 billion as of March 31. Analysts have mixed feelings about both stocks. I like both of them because climate change isn't going away. They're profitable and generating significant cash flow, which allows them to buy back shares during times of weakness, such as the current situation. It will pass. Don't pass on WSO and POOL for the long haul. On the date of publication, Will Ashworth did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
