Wall Street is bullish on Waymo: Revenue could exceed $100 billion by 2030

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 Wall Street is bullish on Waymo: Revenue could exceed $100 billion by 2030


Netease Technologies News Dec. 7, according to foreign media reports, Waymo, a driverless car subsidiary of Alphabet, the parent company of Google, may launch its first commercial pilot service on Wednesday local time on a small scale, but Wall Street analysts are very optimistic about the businesss performance prospects.

According to basic estimates from UBS, an investment bank, Alphabets driverless car subsidiary could make $114 billion in revenue in 2030.

In automated taxi service tests in suburban Phoenix, Arizona, Waymo offered services similar to Lyft and Uber to only a few people. Eric Sheridan, an analyst at UBS, wrote in a research note sent to clients Thursday that Waymo could also license maps and AV operating systems to other service providers or automakers, or take them through entertainment or advertising, as more locations and vehicles operate. Customersattention is monetized.

A study released by Intel last June predicts that driverless cars will create a market of up to $800 billion by 2035. UBS estimates that Waymos revenue in 2030 could reach $114 billion, including only Waymos revenue from driverless taxi-related services, while UBS analyst Eric Sheridan believes Waymo will also have business opportunities in logistics and commercial distribution.

In addition to Waymo, many other technology and automotive companies are competing to launch their own auto-driving taxi services, including Cruise and Uber, GMs auto-driving subsidiaries. Although Waymos technology is widely regarded as the most advanced, it faces many regulatory and security concerns, as it emphasized when it launched the service Wednesday local time. For example, Waymos driving system will still be accompanied by a safe driver to monitor the ride, at least initially.

UBS gave Waymo a basic valuation of $75 billion. Morgan Stanley valued Waymo at $45 billion in August, claiming it could grow to $175 billion. (Tianmenshan Mountain)

Source: Responsible Editor of Netease Science and Technology Report: Wang Fengzhi_NT2541