Benzinga - by Anan Ashraf, Benzinga Editor.
Editor’s note: This story was updated with more details from the media report and background about FSD testing in China
EV giant Tesla Inc (NASDAQ:TSLA) is reportedly partnering with Beijing-based internet company Baidu Inc (NASDAQ:BIDU) in an attempt to introduce its driver assistance features in China.
What Happened: The partnership will focus on providing high-precision, lane-level mapping and navigation data for China, Bloomberg reported, citing people familiar with the matter. This data is crucial for deploying Tesla’s Full Self-Driving (FSD) software in the East Asian market.
The report comes on the heels of Tesla CEO Elon Musk‘s unannounced trip to China over the weekend, fueling speculation about FSD’s rollout in the country.
Why It Matters: During Tesla’s recent earnings call, Musk expressed his desire to launch FSD in new markets, including China, pending regulatory approval.
FSD, while requiring active driver supervision currently, is a key technology in Tesla’s vision of achieving full autonomy. Musk has emphasized the importance of FSD for Tesla’s future value, stating last week, "If somebody doesn't believe Tesla is going to solve autonomy, I think they should not be an investor in the company.
Exactly a year ago, it was reported that Tesla was about to start large-scale FSD testing in China. So far, Chinese customers who have purchased the optional FSD capability have not been granted access to the FSD Beta program running in North America since October 2020.
The news also comes on the heels of smartphone giant-turned-EV-maker Huawei unveiling its new software brand for intelligent driving, “Qiankun,” as part of its plan to establish a significant presence in the EV industry.
FSD, however, has also raised some concerns over safety although some Tesla executives have repeatedly said it is much better than human drivers.
Price Action: Tesla stock closed down 1.11% at $168.29 on Friday, according to data from Benzinga Pro, but was up 0.37% after the closing bell. The stock is down 32.26% year-to-date.
Check out more of Benzinga's Future Of Mobility coverage by following this link.
Read More: Elon Musk CEO Questions European Space Agency’s Lack Of Reusability For Its Ariane 6 Launch Vehicle
Photo via Shutterstock
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.