Zoox to start charging for robotaxi rides in Las Vegas

Nearly a year ago, Zoox opened its robotaxi service to the public in Las Vegas. Now, it is ready to start charging for those rides.

The Amazon-owned autonomous vehicle technology company said that it will start charging for rides in Las Vegas starting August 10, marking the launch of its commercial operations. The company has spent years working towards this moment.

The Silicon Valley startup was founded in 2014 with a plan to develop a custom-built electric vehicle and the self-driving stack that would drive it, as well as an on-demand ride-sharing app. The company was acquired by Amazon in 2020, and later that year unveiled its robotaxi , a cube-like vehicle equipped with a self-driving system, loads of sensors, and a moonroof, but no steering wheel or pedals. Zoox has spent the past six years testing the vehicle and updating the hardware.

Zoox has faced a number of hurdles over its 12 years, spanning funding, technical development, securing the proper permits for testing, and even several recalls . One major obstacle was lifted last week, when federal safety regulators gave Zoox a temporary exemption from certain federal motor vehicle safety standards.

The exemption, issued by National Highway Traffic Safety Administration (NHTSA), allows the company to charge customers for rides in its robotaxi. Because Zoox vehicles lack many of the traditional controls required under federal law, it needed an exemption in order to operate.

Zoox received an exemption last year that allowed it to demonstrate its robotaxis, but not charge. The commercial exemption, which lasts two years and allows Zoox to deploy up to 2,500 vehicles, spans eight federal motor vehicle standards, including windshield defrosting and light vehicle braking systems.

The startup also offers robotaxis in other markets, such as San Francisco and Austin, but it will have to offer them for free for now. In California, Zoox still needs two more permits to operate commercially.

Zoox said robotaxi fares will be calculated based on a base fare, plus distance and time traveled from pick-up to drop-off. The company said the final fee will be calculated based on the best route, and be visible before booking. That fare will not change even if the Zoox robotaxi ends up taking a different route.

Destination fees, such as trips to or from the airport, or a high-traffic event at the Sphere or T-Mobile Arena may also be included in the pricing, the company said. Zoox said it is trying to be competitive with the “comfort” pricing levels offered by traditional ride-hail services.