Expert Voices

How Tesla's new chip could increase the value of its cars

Illustration: Aïda Amer/Axios

Tesla's new proprietary chip for self-driving software is key to CEO Elon Musk's promise of a driverless robotaxi fleet by 2020. The chip alone won't deliver fully autonomous cars that can operate anywhere but it could help to increase the value of Tesla vehicles.

The big picture: Other carmakers are focused on autonomous driving for ride-sharing, but Tesla isn't accepting that consumers will abandon car ownership and is chasing a hybrid model of individual car ownership with the option for owners to earn money by sharing their vehicles via robotaxis.

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Data: S3 Partners; Chart: Naema Ahmed/Axios