Three delivery bikes dart over the pedestrian crossing in front of the car on a busy downtown street. They appear to be little 3D blue blocks from a 1990s video game on the dashboard of the car.
While the safety driver watches from the passenger seat, the steering wheel turns one more turn and the car comes to a gentle stop.
The vehicle is one of 100 sensor-equipped robotaxis owned by start-up DeepRoute.ai that are currently patrolling Shenzhen, China’s southern tech metropolis, delivering 50,000 trial rides to passengers in the previous year.
Despite the fact that the United States is thought to have started testing autonomous vehicle (AV) technology first, the industry in Shenzhen seems to be shifting gears, with trial robotaxis quickly becoming a regular sight.
The Apollo division of Baidu Inc., Pony, Weride, Auto X, and Deeproute have all been testing their ability to navigate the challenging environment of the city, which is filled with regular jaywalkers and omnipresent e-scooters.
China’s most lucid AV legislation have now been implemented in Shenzhen, a population of 18 million people. Starting on Monday, registered AVs will be permitted to run across much of the city without a driver in the driver’s seat, although a driver must still be in the car.
Robotaxis have been permitted to operate in Chinese cities on a limited basis with the approval of local authorities up until now, but Shenzhen’s regulations are the first to establish a framework for liability in the case of an accident.
In the event of an accident involving the AV, the driver will be held accountable. The owner of the vehicle will be liable if the vehicle is entirely autonomous. The owner of the vehicle may pursue compensation from the manufacturer if a defect results in an accident.
The CEO of DeepRoute, Maxwell Zhou, stated at the company’s offices in a tech park close to the Hong Kong border, “If you want more cars, eventually there will be accidents, so these laws are absolutely crucial for mass deployment.”
“This is a significant milestone, but it’s not truly driverless.”
The United States has so far outpaced other countries in autonomous vehicle trials. California approved public road tests starting in 2014, allowing Alphabet Inc.’s Waymo LLC, Cruise, and Tesla to log millions of miles in road testing.
However, China is pushing forward, with Beijing designating AV as a focal point in its most recent five-year plan. By 2025, Shenzhen hopes to see 200 billion yuan in revenue from its smart vehicle business.
Dan Amann, the chief executive of Cruise, forewarned President Joe Biden in May of last year that China’s “top down, centrally driven strategy” could cause American safety standards to cause the country’s AV industry to lag behind China.
By the time more comprehensive laws are anticipated in a few years, Deeproute hopes to have 1,000 robotaxis with safety drivers operating on Shenzhen’s roadways.
However, before robotaxis are financially viable, according to Zhou, production costs for AVs must decrease in a city with a state-owned fleet of 22,000 electric taxis from Shenzhen-based BYD, where a 20-km (12-mile) ride costs approximately 60 yuan ($9).
To reduce costs and collect data, Deeproute and other robotaxi businesses are relying on mass production. Deeproute charges carmarkers about $3,000 for their driving solutions.
Zhou takes the DJI Technology Co. of Shenzhen as an example because it has become the market leader for commercial drones because to decreased hardware costs and integrated supply chains.
On July 21, Baidu revealed a new autonomous vehicle (AV) with a removable steering wheel it will use for robotaxis the next year. At 250,000 yuan per unit, this new model is almost half as expensive as its predecessor.
At the Baidu World conference, Robin Li, CEO of Baidu, stated that taking a robotaxi will soon be half as expensive as taking a taxi today.
Shenzhen has a significant production edge over Silicon Valley thanks to its supply chain and lower costs, but AV solution provider David Chang does not want to be restricted to a single market.
The CEO and founder of Shenzhen-based Whale Dynamic stated, “In Shenzhen the capital cost is one third to California because we have the battery suppliers, we have the sensors, and we have the majority of the integration.”
With R&D teams and testing in both locations, Deeproute, Weride, and Pony.ai all have offices in Silicon Valley as well.
“We don’t want to condense into a well and engage in conflict with other frogs. We intend to leap from that well “Chang stated.
