Tesla Autopilot Reduces Accidents Probability
Tesla Motors is a step closer to the mainstream introduction of its autopilot feature
Tesla Motors Inc. (NASDAQ:TSLA) is touting its high-tech autopilot feature that allows Tesla owners to ride the vehicle hands-free. According to Elon Musk, the probability of accidents while the autopilot mode is reduced by half which makes the car safer compared to human driving. Electric Vehicle (EV) publishing website, Electrek reports that in conversation with Norway’s Minister of Transport and Communications Ketil Solvik-Olsen, backs the claim with early data generated from the first version of the autopilot feature.
His exact words are: “The probability of having an accident is 50% lower if you have Autopilot on. Even with our first version. So we can see basically what’s the average number of kilometers to an accident – accident defined by airbag deployment. Even with this early version, it’s almost twice as good as a person,” as reported by Electrek.
Already Tesla vehicles have driven nearly 47 million miles (75 million kilometers) on autopilot mode since it was launched in October 2015. Just as the feature gets more recognition in the auto industry and among Tesla owners, the usability of this feature is expected to surge which will eventually generate more data for the company to comprehend safety results.
This feature is present in Tesla’s Model S sedan, and Model X. As the automaker is continuously increasing the production of these cars to sell nearly 80,000 to 90,000 units this year, it is expected that autopilot data will increase significantly. This should help the company establish the efficacy, and safety of autonomous driving.
Already several videos have been uploaded on Youtube where Tesla owners are amazed to see how well the autopilot feature functions. One video also shows how Model S vehicles are quick to avoid side collisions, and alert drivers to take the wheel in case of emergency.
Interestingly, Tesla Autopilot feature learns on its own and gradually evolves based on people’s daily usage. The feature is like a network that upgrades as it is used and everyone can benefit from these updates. This way, Tesla owners do not need to take their vehicles to Tesla Stores or factory to get additional safety features as all updates are wireless.
Mr. Musk has been an avid supporter of autonomous driving cars, and has claimed that traditional cars will be driven not for safety purposes but only for sentimental value in future. He expects a fully-autonomous driving system to be ready within the next two years which will further ensure transportation safety. However, the electric car maker needs plenty of supporting data to convince auto regulators over the mainstream adoption of such functionality. For now, regulators around the world are skeptical to allow the system as they fear for the safety of drivers and passengers, even if prompted by users’ negligence. The system was blocked for several months in Hong Kong. It was given a green signal later this year only after Mr. Musk made a visit to Hong Kong and ensured of its safe usability.
Currently, Tesla vehicles are present with beta version of 7.1 Autopilot version. Mr., Musk has made key hirings around the world to make the system more efficient and customized according to local transportation needs around the world. He said that a fully-autonomous system will come with the second-generation of the autopilot feature which Tesla plans to include in its next major update.
Last month, nearly 99% of the automakers present in the US agreed to make automatic emergency brake (AEB) system a standard in all vehicles by 2022. The US transportation regulatory bodies, National Highway Traffic Safety Administration (NHTSA), and Insurance Institute for Highway Safety (IIHS) will monitor this initiative which will lead the transport industry to safer driving and fewer rear crashes.
If Tesla Motors is able to prove the safety of its autopilot feature, then there are good chances that the company can make its hands-free driving system mainstream in all of its vehicles. Timely success would be crucial if the company is to include this feature in its first, mass-market variant, Model 3. Already Tesla has hinted that it will add the feature to this car at its unveil event. The relatively cheaper Model 3 has already grabbed more than 400,000 orders.
So far this year, Tesla Motors stock has jumped by 5.77% to outperform the S&P 500 Index’s gain of 1.3% over the same time period. The stock closed at $251.82 on Monday down by 0.76% when compared to its previous close.
We have studied investments from Netflix, new contracts signed by Orbital, SolarCity earnings report and their negotiation with Tesla for the acquisition of the Powerball battery, the problems that ARCH coal is facing, how IBM is investing in the treatment of the Zika virus, how Moon Express is planning to mine minerals in the moon, and how Citigroup is engaged in commodity trading.
We follow a lot Tesla here, from the fundamental analysis and from the technical as well. See how the Chevy Bolt and the Tesla 3 are dimensioning the evolution of the price of this shares and how this could affect technical analysis, and how the Autopilot functionality is working: the evolution of the Autopilot software has always influenced the prices of their stocks. Tesla Model S 70D is considered the “car of the century”, not by us of course, but we are interested to see how these awards affect the evolution of the stocks. Tesla and other companies signed an agreement so that autobraking became the standard in 2022. A trend in the automobile industry started by Mercedes Benz and Tesla, is having a platform to sell pre-owned vehicles: now General Motors is joining that trend as well.
We have studies how the stock slump of GoPro should be considered not only from the view of technical analysis. Also, check the functionality from Facebook, the “login approval” and if it really protects users or other interests. The reports from Volkswagen about their very low injury claims, how now other companies in China can use the name “IPhone” apart from Apple. We continue in China to learn about the Marketplace Alliance Program from Alibaba, and the joint investment in CloudFlare from Google Inc, Microsoft Corporation, Qualcomm, and Baidu.
About Google, a company we follow a lot here, I want to see how they have entered in the batteries market and how this will affect their current projects and the evolution of the stocks. Interesting are the Chrome updates to decrease CPU usage.
We discuss briefly how Oracle adressed the changes in the cloud-computing industry, why Morgan Stanley is optimistic after the pandemic and the Brexit, the divestment in Dell regarding Perot Systems, and the effects of the huge minimum wage rise in Costco. Chipotle is cutting the executive compensation, the issues that BP is facing, what happens with Macy´s earnings and how fundamental analysis can be done in those cases. About Apple, we analyze the effect of the launch of this product Apple Watch where sales performed very irregularly.