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Investing.com -- Shares of Uber (NYSE:UBER) and Lyft (NASDAQ:LYFT) moved lower on Thursday, with Uber’s stock declining 3.4% and Lyft’s stock falling 3%, amid positive comments from Tesla (NASDAQ:TSLA) about its upcoming robotaxi efforts. The ride-hailing companies faced headwinds after Tesla CEO Elon Musk expressed confidence in launching "unsupervised" full-self-driving cars as a paid service in Austin, Texas, in June and predicted the expansion of robotaxi services to California and other U.S. markets within the year.
Tesla’s recent earnings call highlighted the company’s ambition to shift from a predominantly automotive business to a broader focus on AI and robotics. Musk’s announcement about the Cybercab, slated for volume production in 2026, and the ongoing improvements to its "supervised" Full Self-Driving (FSD) system, which aims to surpass human safety levels, have stirred the market, impacting competitors in the mobility space.
Analysts have mixed views on Tesla’s announcements. Morgan Stanley (NYSE:MS)’s Adam Jonas acknowledges the transition towards AI and robotics but notes disappointment in Tesla’s fourth-quarter results. Canaccord Genuity’s George Gianarikas shares Musk’s enthusiasm for autonomous vehicles and robotics but finds the near-term commentary from Tesla less satisfying. Bloomberg Intelligence’s Steve Man suggests that Tesla’s energy and AI revenue streams could emerge by 2025, with robotaxi and unsupervised FSD revenues potentially materializing in the second half of the year. TD Cowen’s Jeff Osborne points out that Tesla’s fourth-quarter margins missed expectations due to lower auto average selling prices and describes Musk’s comments on Tesla’s future as "boastful" and focused on business aspects that have been long discussed but not yet realized.
The broader implications for companies like Uber and Lyft are clear as they navigate the potential disruption from advancements in autonomous driving technology. The market’s reaction reflects concerns over how these developments could reshape the competitive landscape in the ride-hailing industry.
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