Elon Musk Slams Waymo’s Costly Robotaxis as Tesla Gears Up for 2025 Showdown

On April 25, 2025, Elon Musk reignited a heated rivalry in the electric vehicle (EV) and autonomous driving space with a pointed jab at Waymo on X: “Waymo needs ‘way mo’ money to succeed 😂,” he getwittert, amassing over 674,000 views. The quip followed Musk’s critique during Tesla’s April 23 earnings call, where he called out Waymo’s “expensive sensor suite” as a flawed business model, as reported by Automotive World. Waymo’s former CEO John Krafcik fired back, accusing Tesla of a decade of “undelivered promises” in the robotaxi race—a clash that has EV enthusiasts on edge.

Musk’s Vision: Affordable Autonomy Through AI

During Tesla’s earnings call, Musk laid out his case against Waymo’s approach. “The issue with Waymo’s cars is it costs way more money… Teslas are probably cost 25% or 20% of what a Waymo costs and made in very high volume,” he said, emphasizing Tesla’s camera-only, AI-driven Full Self-Driving (FSD) system. Tesla’s upcoming Cybercab, a two-seater robotaxi set to launch in Austin in June 2025, aims to disrupt the market with a projected cost of $0.20 per mile—far below Waymo’s estimated $1.50 per mile. For a 10-mile trip, that’s a $13 savings, a game-changer for budget-conscious travelers.

Tesla’s strategy hinges on efficiency: its vision-based system uses eight cameras and neural networks, augmented by audio sensors to detect sirens, avoiding the costly lidar and radar sensors Waymo relies on. With over 2 million Tesla vehicles feeding real-world data into its AI, Musk claims this lean approach will democratize autonomous rides, though FSD’s safety record remains under scrutiny, with no public data yet showing it matches human drivers.

Krafcik’s Defense: Safety Over Cost

John Krafcik didn’t let Musk’s critique go unanswered. In a scathing rebuttal shared on X by user Sawyer Merritt and detailed by Automotive World, Krafcik stated, “Tesla has never competed with Waymo—they’ve never sold a robotaxi ride to a public rider. They’ve failed utterly and completely at this for each of the 10 years they’ve been talking about it.”

He defended Waymo’s sensor-heavy approach, arguing, “In the long run, the cost of sensors has a trivial cost-per-mile impact over the useful life of a robotaxi, while also providing massive quantifiable safety benefits.”
Waymo’s sixth-generation robotaxi, a modified Jaguar I-PACE, integrates 29 cameras, five lidar units, radars, and audio sensors, enabling it to handle complex urban environments.

The company has scaled impressively, delivering 250,000 paid robotaxi trips weekly across the U.S., according to Alphabet’s latest earnings. Yet, its high costs—estimated at over $10 billion in development since 2009—have kept fares steep, often outpacing traditional ride-hailing apps like Uber.

Elon Musk Slams Waymo’s Costly Robotaxis As Tesla Gears Up For 2025 Showdown

The Broader Impact: A Defining Moment for Autonomous EVs

For EV owners, this rivalry isn’t just a tech showdown—it’s about the future of mobility. Autonomous EVs could slash the 94% of U.S. crashes caused by human error, per the National Highway Traffic Safety Administration, while reducing urban congestion and emissions. Tesla’s affordability push could make robotaxis a viable option for daily commutes, but Waymo’s safety-first model appeals to those prioritizing reliability over cost. Regulatory uncertainty looms large, with the Federal Motor Carrier Safety Administration still finalizing rules for driverless vehicles, a hurdle both companies must clear.

EVXL’s Take: The Race America’s Been Waiting For

At EVXL, we’re captivated by this high-stakes battle. Waymo’s 250,000 weekly rides prove it’s a serious player, but its cash-burning model feels like a gamble that’s yet to pay off. Tesla’s bold bet on AI-driven affordability could finally bring robotaxis to the masses, and we’re cheering for the Cybercab to shake things up in Austin come June. If Musk delivers, EV owners might soon enjoy autonomous rides for less than the cost of a latte, leaving Waymo to rethink its pricey playbook. Buckle up—this race is about to get electrifying.

Fotos mit freundlicher Genehmigung von Tesla.


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Haye Kesteloo
Haye Kesteloo

Haye Kesteloo ist die Chefredakteurin und Gründerin von EVXL.cowo er über alle Nachrichten im Zusammenhang mit Elektrofahrzeugen berichtet und dabei Marken wie Tesla, Ford, GM, BMW, Nissan und andere berücksichtigt. Eine ähnliche Rolle erfüllt er bei der Drohnen-Nachrichtenseite DroneXL.co. Haye ist zu erreichen unter haye @ evxl.co oder @hayekesteloo.

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