Fears about Tesla’s entry into the robotaxi market are causing concerns for Uber investors as growth in the mobility sector slows down. Tesla’s plans to launch its own fleet of autonomous vehicles for ride-sharing services have raised questions about how this will impact Uber’s market share and profitability.
Investors are worried that Tesla’s robotaxis could pose a serious threat to Uber’s business model, which relies heavily on human drivers. If Tesla is successful in deploying a large number of autonomous vehicles, it could potentially drive down prices in the ride-sharing market and make it harder for Uber to compete.
These concerns have weighed on Uber’s stock price, as investors try to assess the potential impact of Tesla’s entry into the robotaxi market. With growth in the mobility sector already slowing down, any additional competition from Tesla could further dampen Uber’s prospects for future growth.
While it remains to be seen how successful Tesla will be in rolling out its robotaxi fleet, the uncertainty surrounding this development is causing jitters among Uber investors. As the two companies continue to vie for dominance in the ride-sharing market, investors will be closely watching to see how this competition plays out in the coming months.