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Zoox paid rides in Las Vegas begin August 10

Amazon-owned Zoox will start charging for Las Vegas robotaxi trips on August 10 after a temporary federal exemption cleared paid service.

Theo Nakamura

By Theo Nakamura · Staff Writer

· 3 min read

Zoox paid rides in Las Vegas begin August 10
Photo: TechCrunch

Zoox paid rides in Las Vegas are set to begin August 10, turning the Amazon-owned company’s previously free robotaxi trips into a commercial service. For investors watching autonomous vehicles, the change is a concrete test of whether Zoox can begin generating revenue from its purpose-built driverless vehicles, even on a limited regulatory basis.

Zoox opened its Las Vegas service to the public nearly a year ago, TechCrunch reported. The company will now charge customers for trips in its electric robotaxis, which have no steering wheel or pedals.

Why can Zoox charge for robotaxi rides in Las Vegas now?

The National Highway Traffic Safety Administration, or NHTSA, issued Zoox a temporary exemption from certain federal motor-vehicle safety standards, according to CNBC. That approval is needed because many vehicle rules were written around cars with conventional human-driver controls.

A robotaxi is a vehicle that uses an automated driving system to carry passengers without a human driver at the controls. Zoox designed its shuttle from the ground up for that use, rather than adapting a conventional car with a steering wheel and brake pedals.

The exemption allows Zoox to deploy up to 2,500 vehicles annually for two years, CNBC reported, under what NHTSA called an enhanced, adaptable oversight structure. TechCrunch reported that the approval covers eight federal standards, including rules involving windshield defrosting and light-vehicle braking systems.

Zoox previously held an exemption that allowed it to demonstrate robotaxis on public roads, but not collect fares, according to TechCrunch. The new authorization is the regulatory step that lets the company move from free trips to paid rides in Las Vegas.

How will Zoox robotaxi fares work?

Zoox said fares will include a starting charge plus amounts tied to the trip’s distance and travel time. Riders will see the route-based price before they book, TechCrunch reported, and Zoox said that quoted fare will remain the same even if the vehicle takes a different route.

The company said some trips may carry destination fees, including airport trips or rides connected to high-traffic events at the Sphere or T-Mobile Arena. Zoox has not disclosed dollar prices in the available reporting. It said it aims to price trips competitively with the “comfort” tier offered by conventional ride-hail services.

What happens in San Francisco and other cities?

Las Vegas is Zoox’s first market for paid rides. The company also offers robotaxi trips in San Francisco and Austin, but TechCrunch reported that rides there must remain free for now. In California, Zoox still needs two permits for commercial operations.

CNBC reported that other markets are expected to follow as Zoox meets each state’s commercialization requirements. The federal exemption does not by itself establish the timing or conditions for paid service everywhere.

The commercial launch also arrives amid continuing scrutiny of driverless-vehicle safety. CNBC reported that Zoox recalled 105 robotaxis over a software issue involving the detection of heavy smoke, and that the company said one vehicle entered an active fire emergency scene in Las Vegas last month. The Advocates for Highway and Auto Safety group said Zoox had not provided sufficiently detailed evidence that its vehicles could operate safely on public roads, according to an Associated Press report carried by Fox 5 Las Vegas.

This story draws on original reporting from TechCrunch.

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