9 Things to Know About Pony AI, the Startup That Could Outpace Tesla's Robotaxis

© Pony AI

Pony AI, a Chinese startup specializing in autonomous driving technologies, went public at the end of November. This was a major milestone for the young company, which is competing directly with American giants such as Tesla and Waymo. Now, it

A Chinese company based in… California

Pony AI was founded in 2016 by James Peng and Lou Tiancheng, respectively CEO and CTO of the company. They already had solid experience in the autonomous driving sector, each having worked at Google and Baidu, its Chinese equivalent.

The company focuses on developing complete autonomous driving systems for various types of vehicles. It is notable that its headquarters are in Fremont, California, but it is considered Chinese because its founders are from the Middle Kingdom. Similarly, it conducts the majority of its operations in the country, where it has also established many strategic partnerships.

250 robotaxis

The firm operates a fleet of 250 robotaxis in several Chinese cities, including Beijing, Guangzhou, Shanghai, and Shenzhen. Equipped with Level 4 autonomy, they do not require safety drivers behind the wheel, making Pony AI a very serious competitor to Alphabet subsidiary Waymo as well as Tesla. As a reminder, the manufacturer recently unveiled its Cybercab.

To date, this fleet has traveled more than 33.5 million kilometers, including approximately 3.9 million kilometers without a human driver. The startup aims to expand it considerably, to reach 1,000 vehicles in urban areas by the end of 2025.

190 robocamions

Pony AI also has a fleet of 190 autonomous trucks, called PonyTron, dedicated to freight transport. Mainly deployed in Beijing and Guangzhou for long-distance trips, they aim to improve logistics efficiency in these major cities. They have logged 5 million kilometers.

Using this technology has reduced labor costs by at least 40%, improved fuel efficiency by more than 10%, and reduced insurance premiums through lower accident rates, the company claims.

200% Deposit Bonus up to €3,000 180% First Deposit Bonus up to $20,000

Research & Development in the United States

Pony AI's presence in the United States is mainly focused on research and development. It has over 100 employees, based in San Francisco, California, and Tucson, Arizona. The startup is conducting tests on American roads, particularly for its robotaxis services, in order to collect data and improve its systems.

Loss of its license

Pony AI's journey in the United States has been fraught with pitfalls. In 2022, California authorities revoked its license to test its autonomous vehicles with a safety driver.

The Department of Motor Vehicles (DMV) investigation revealed that the firm did not conduct regular checks on the driving records of its safety drivers. A negligence deemed unacceptable given their importance.

Joint venture with Toyota

A disappointment, certainly, but one that did not prevent Pony AI from convincing investors. The young shoot raised a total of 1.3 billion dollars, divided into ten rounds of funding from giants such as NIO and especially, Toyota.

The two companies have been collaborating since 2019 on the development of autonomous vehicles. In August 2023, their partnership was formalized by the creation of a joint venture aimed at producing fully autonomous taxis. Goal: Combine Toyota's expertise in vehicle manufacturing with Pony AI's advanced autonomous driving technology.

IPO in New York

While one might have thought that Pony AI would choose Hong Kong for its listing, it is indeed on Nasdaq, on Wall Street, that the startup entered. The company was valued at $5.25 billion.

Uber interested

Uber plans to invest more than $10 million in the startup during the operation. This initiative could also extend to a partnership between the two parties outside the United States.

Because Uber has established a well-defined strategy by strengthening its collaborations with autonomous driving companies. The company, which already has agreements with Waymo and WeRide, is looking to diversify its partnerships, in particular by operating robotaxis in several regions. Pony AI could thus allow it to expand its technological reach.

Possible brakes in the United States

The company's choice of the United States for its IPO has some investors worried, as Donald Trump will be inaugurated as president in January. The Republican has pledged to drastically restrict products from China entering the country; if it could allow American autonomous driving companies to evolve quickly, nothing is certain for Pony AI.

Similarly, potential restrictions related to cybersecurity risk affecting the startup in Uncle Sam's country.

📍 To not miss any Presse-citron news, follow us on Google News and WhatsApp.

[ ]