CNBC·2025-11-20 07:14Core Insights - Baidu has announced the capability to sell robotaxi rides without human staff, indicating a significant advancement in autonomous driving technology [1] - Chinese robotaxi companies are expanding internationally at a faster pace than U.S. competitors, with industry leaders suggesting that autonomous driving is nearing a critical turning point [2] - Positive public feedback and increased exposure to driverless rides are expected to accelerate regulatory approvals for robotaxi services [3] Industry Growth Potential - The global robotaxi market is projected to exceed $25 billion by 2030, highlighting significant growth opportunities [4] - Chinese companies are aggressively pursuing international expansion, aiming to establish robotaxis as a viable business model rather than merely focusing on market share [6] Profitability and Operational Efficiency - Baidu's Apollo Go unit has achieved per-vehicle profitability in Wuhan, operating over 1,000 vehicles, which demonstrates the potential for profitability in other cities [8] - The cost of rides in Wuhan is approximately 30% lower than in major cities like Beijing and Shanghai, making it competitive against U.S. and European prices [9] - Partnerships with ride-hailing services like Uber are deemed critical for operational efficiency and quicker profitability [7] Fleet Size and Competitive Landscape - Companies like Baidu, Pony.ai, and WeRide are leading in fleet size, which is becoming a key competitive factor in the race for profitability [13] - Pony.ai plans to deploy 1,000 robotaxis in the Middle East by 2028, while WeRide aims for a similar fleet size by the end of next year [14] Safety and Regulatory Environment - No fatalities or major injuries have been reported by any of the six robotaxi operators, which is crucial for gaining regulatory approval [16] - The Chinese government is expected to increase support for robotaxi operations, which could further enhance market conditions [16][17]