Rivian Unveils Custom Silicon, R2 Lidar Roadmap, and Universal Hands Free

This is really poor execution. You're taking a complex, low margin vehicle and introducing even more cost and supply chain complexity. On top of that, you're essentially making a proxy bet that more expensive hardware (LIDAR) will beat Tesla's software bet.

It's absolutely fair to criticize Elon for his ridiculous FSD timeline claims, but here we are now evaluating the market: if you have experienced the latest FSD, Waymo's and now Rivian's bet is just so obviously the exact wrong bet.

> if you have experienced the latest FSD, Waymo's and now Rivian's bet is just so obviously the exact wrong bet

I have. It’s wild for anyone to say this.

Waymo works. FSD mostly works, and I seriously considered getting a Tesla after borrowing one last week. But it needs to be supervised—this is apparent both in its attention requirement and the one time last week it tried to bolt into a red-lit intersection.

The state of the art is Waymo. The jury is still out on whether cameras only can replicate its success. If it can’t, that safety margin could mean game over for FSD on the insurance or regulatory levels. In that case, Rivian could be No. 2 to Waymo (which will be No. 1 if cameras only doesn’t pan out, given they have infinite money from Google). That’s a good bet.

And if cameras only works, you’ll still have the ultra premium segment Tesla seems to have abandoned and which may be wary of licensing from Waymo.

Waymo operates on guardrails, with a lot more human-in-the-loop (remotely) help than most people seem aware of.

Tesla's already have similar capabilities, in a much wider range of roads, in vehicles that cost 80% less to manufacture.

They're both achieving impressive results. But if you read beyond headlines, Tesla is setup for such more more success than Waymo in the next 1-2 years.

> Tesla is setup for such more more success than Waymo in the next 1-2 years

Iff cameras only works. With threshold for "works" beig set by Waymo, since a Robotaxi that's would have been acceptable per se may not be if it's statistically less safe compared to an existing solution.

Waymo also sets the timeline. If cameras only would work, but Waymo scales before it does, Tesla may be forced by regulators to integrate radars and lidars. This nukes their cost advantage, at least in part, though Tesla maintains its manufacturing lead and vertical integration.)

Tesla has a good hand. But Rivian's play makes sense. If cameras only fails, they win on licensing and a temporary monopoly. If cameras only work, they are a less-threatening partner for other car companies than Waymo.