Amazon’s Zoox to challenge Waymo and Tesla with new Robotaxi fleet in California

Zoox, Amazon's autonomous vehicle unit, has opened its first robotaxi production facility in California, capable of assembling over 10,000 vehicles annually. The move supports plans for public operations in Las Vegas and San Francisco, as Zoox prepares to compete with Waymo and Tesla.

Livemint
Updated18 Jun 2025, 11:03 PM IST
Zoox, the autonomous vehicle subsidiary of Amazon, has inaugurated its first dedicated robotaxi production facility in California, marking a significant milestone in its journey towards launching a commercial self-driving taxi service in the United States.
Zoox, the autonomous vehicle subsidiary of Amazon, has inaugurated its first dedicated robotaxi production facility in California, marking a significant milestone in its journey towards launching a commercial self-driving taxi service in the United States.(REUTERS)

Zoox, the autonomous vehicle subsidiary of Amazon, has inaugurated its first dedicated robotaxi production facility in California, marking a significant milestone in its journey towards launching a commercial self-driving taxi service in the United States.

The newly opened 220,000-square-foot facility, located in Hayward, has the capacity to assemble over 10,000 autonomous vehicles annually once it reaches full production. While Zoox has not revealed how many vehicles it plans to build initially, the move comes as it gears up for public operations in Las Vegas later this year, with San Francisco to follow.

Zoox is currently testing its fleet of more than 20 driverless vehicles across multiple U.S. cities. In San Francisco, the company is operating within the SoMa (South of Market) district and anticipates welcoming members of the public for test rides in the near future.

“This expansion, alongside the expected demand once rides become available to the general public and future market entries, necessitates a ramp-up in our robotaxi production,” the company stated.

Unlike competitors such as Alphabet’s Waymo, which retrofits conventional vehicles with self-driving technologies, Zoox’s vehicles are purpose-built for autonomy. With a boxy design likened to “toaster ovens on wheels,” they lack traditional driving controls such as steering wheels or pedals — a notable departure from current norms.

The commercial rollout will place Zoox in direct competition with Waymo, which has been operating driverless ride-hailing services for several years, and Tesla, whose CEO Elon Musk has announced plans to launch a paid robotaxi service using modified Model Y SUVs on 22 June. Tesla also intends to introduce a custom-designed two-seater vehicle, dubbed the “Cybercab”, which, like Zoox’s model, will not include manual controls.

Despite advances in the field, the road to fully autonomous transport has not been without setbacks. High development costs and stringent regulatory hurdles continue to challenge the industry. Additionally, several companies — including Zoox, Waymo, and Tesla — have come under federal scrutiny and have had to issue recalls following incidents involving their autonomous vehicles.

(With inputs from Reuters)

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