Tesla is currently exploring the possibility of licensing its self-driving technology to a major automaker, according to the company’s CEO, Elon Musk, who revealed this during a recent shareholder meeting.
Licensing Tesla’s self-driving system could bring in substantial profits for the company, as its system is considered the most advanced in the industry at present.
Unlike other companies’ systems, Tesla’s technology is capable of fully driving a car within city limits, recognizing traffic signals, and providing road guidance, whereas other systems are limited to highway driving.
Tesla would also benefit from selling components of its self-driving systems, including sensors and cameras, even if it doesn’t manufacture them, similar to what it is currently doing with electric charging stations.
Companies like Ford and General Motors have decided to sign agreements with Tesla to support its car charging system starting in 2025.
Tesla owns the largest charging network in the United States and Europe.
Mercedes and Volvo have also embarked on a similar path some time ago.
While Tesla currently dominates the electric car market, it is likely that its gains from selling its technologies may soon surpass its profits from selling cars, especially after the rapid growth seen by Chinese car manufacturers.
