Uber Shifts to 'Full Stack' Robotaxi Model with $10 Billion Investment Plan

Uber Technologies is pivoting its autonomous vehicle strategy toward a 'full stack' model, aiming to own and operate its own robotaxi fleet with a planned investment of $5 billion to $10 billion. Analysts project a potential return on investment of 24% for an initial fleet of 50,000 vehicles, leveraging Uber's robust free cash flow. Central to this strategy is a 'hybrid network' that integrates autonomous vehicles with human drivers to enhance operational efficiency. This hybrid approach helps address high volatility in ride-hailing demand that fully autonomous fleets may struggle to manage alone. By combining these resources, Uber aims to capture higher profit margins and secure a dominant position in the emerging autonomous transport market. Furthermore, forecasts indicate sustained growth in both user numbers and gross bookings through 2028 as the company transitions into a hardware-integrated mobility giant.