How Aurora Got Self-Driving Trucks On The Road

How Aurora Got Self-Driving Trucks On The Road

New Section

This section introduces Aurora, a self-driving technology company aiming to launch fully autonomous trucks by next year. It highlights the potential benefits of self-driving trucks, such as increased efficiency and improved safety.

Introduction to Self-Driving Trucks

  • While there is a safety driver behind the wheel, these trucks are operating completely autonomously.
  • Aurora plans to launch self-driving trucks with no one in the cab by next year.
  • Self-driving trucks have the potential to significantly reduce delivery time, with a trip from California to Dallas taking about 24 hours instead of three days.

Advantages of Self-Driving Trucks

  • Self-driving trucks have better visibility and can see further than human drivers.
  • They can operate 24/7 without getting tired, increasing their daily mileage from 450-500 miles to 1000-1100 miles. This greatly improves profitability for trucking companies.
  • The introduction of autonomy in trucking could have a major impact on the industry, which plays a crucial role in our economy.

Importance of Trucking Industry and Supply Chain

  • The trucking industry is vital for goods movement, with over $1 trillion spent just in the U.S. It has become even more important during the pandemic as demand continues to rise.
  • Goods movement has doubled over the last three years, leading to a need for increased capacity within the industry.

Behind-the-scenes with Aurora

  • CNBC goes behind the scenes with Aurora to witness its self-driving operation in Texas, where they have driven over half a million miles and delivered more than 1,800 trailers for customers.
  • Self-driving truck technology has taken longer to develop than initially anticipated, and it may still be a few years before we see point-to-point deliveries without the need for engineering talent.

Aurora's Mission and Partnership with Uber

  • Aurora was founded in 2017 by industry experts from Tesla, Uber, and Waymo. Their mission is to deliver the benefits of self-driving technology safely, quickly, and broadly.
  • In 2020, Aurora acquired Uber's self-driving unit and received a $400 million investment in exchange for 26% of the combined company. They plan to work together with Uber for ride-hailing services using self-driving cars.

Future Outlook and Challenges

  • While there are tremendous opportunities for driver assistance and improved safety with self-driving technology, it is unlikely that we will see fully autonomous 80,000-pound trucks running on the roads in the near future.
  • The development of self-driving technology presents opportunities for easier and safer transportation but also poses challenges that need to be addressed.

New Section

This section provides an overview of Aurora's progress in developing self-driving technology and its plans to revolutionize transportation.

Expansion into Trucking

  • Aurora initially focused on autonomy for cars but recognized the potential in trucking as well. They designed their system to work on both cars and trucks from the beginning.
  • The autonomous system developed by Aurora offers advantages over human drivers, including improved fuel efficiency, reduced distractions, and enhanced safety with the potential to significantly reduce accidents involving trucks.

Partnership with Uber

  • In addition to acquiring Uber's self-driving unit in 2020, Aurora plans to collaborate with Uber for ride-hailing services using self-driving cars.
  • The partnership between Aurora and Uber aims to focus on building the network and connecting people with means of transportation.

Going Public and Future Plans

  • Aurora went public through a SPAC in 2021, raising $2 billion. They plan to continue developing self-driving technology for both cars and trucks.
  • The company believes that self-driving technology will transform transportation, making it easier and safer to get around.

The transcript provided does not include specific timestamps for each bullet point, so I have estimated the timestamps based on the information given in the transcript.

New Section

In this section, the speaker discusses the benefits of delivering a more consistent service and increasing utilization through autonomous truck systems.

Benefits of Autonomous Truck Systems

  • The speaker mentions that autonomous truck systems can deliver a more consistent service.
  • Increased utilization is expected with autonomous truck systems compared to traditional transportation methods.
  • The company plans to offer its autonomous truck system as a subscription.
  • Autonomous trucks are equipped with lasers, radar, and cameras to perceive the world around them.
  • Proprietary First Light Lidar technology allows the trucks to see further down the road than other vehicles.
  • The trucks have a range of vision up to 400 meters.

New Section

This section focuses on the progress and goals of Aurora's self-driving trucks.

Progress and Goals

  • Aurora's self-driving trucks are considered feature complete and are undergoing testing for software refinement.
  • By the end of the first quarter, the Aurora Driver had all necessary capabilities for autonomous operation.
  • The goal is to continuously improve these capabilities throughout the year towards commercialization in 2024.

New Section

This section highlights Texas as an important market for Aurora's self-driving trucks.

Importance of Texas Market

  • Texas is recognized as the largest intercontinental freight market in the US.
  • Approximately 15% of all US freight moves through Texas, including major cities like Dallas, Houston, and San Antonio.
  • Texas's proximity to Mexico makes it a crucial trading partner, further contributing to its significance in the US economy.
  • Aurora has been training its trucks on routes between Dallas and Houston, as well as Dallas and El Paso.

New Section

This section discusses Aurora's plans to remove drivers from their autonomous trucks by the end of 2024.

Driverless Operations

  • Currently, safety drivers are present behind the wheel during autonomous operations, ready to intervene if necessary.
  • Trucks start and stop their trips at terminals outside cities where customers drop off or pick up trailers.
  • The goal is to eliminate the need for drivers entirely by the end of 2024.
  • Terminals serve as bases for autonomous vehicles, scaling operations, fueling, software updates, and maintenance.
  • Aurora aims to expand its network across the United States over the next 10 to 20 years.

New Section

This section provides insights into Aurora's automated truck hub in Palmer, Texas.

Automated Truck Hub

  • The Palmer hub is considered the first automated truck hub globally.
  • Around 15 trucks operate from this hub daily out of a total fleet size of approximately ten trucks.
  • Scales on the ground help calibrate trucks using QR codes before they hit the road.
  • The goal is to have a facility operating 24/7 in the near future.

New Section

This section explores Aurora's operational model and monitoring systems.

Operational Model and Monitoring

  • Operators pay attention to road conditions and the Aurora driver's performance during missions.
  • Notes are taken on the truck's performance, highlighting improvements over time.
  • Initially, challenges were faced with making turns in heavy traffic, but recent months have shown improvement.
  • Aurora started hauling loads for customers in 2021, partnering with companies like FedEx, Uber Freight, Schneider, and Werner.
  • The focus is currently on ensuring the product serves its purpose rather than profitability.

The transcript provided is already in English.

Expansion Plans

The speaker discusses Aurora's expansion plans and their focus on growing across the Sun Belt and ultimately across the United States.

Aurora's Expansion Strategy

  • Aurora plans to start between Dallas and Houston, then expand to include Dallas to El Paso.
  • They aim to grow east and west across the Sun Belt.
  • Ultimately, their goal is to expand across the entire United States.

Autonomous Trucks in Future Markets

The speaker explains how Aurora expects expanding into future markets to be easier and faster with autonomous trucks that can adapt to new regions.

Benefits of Autonomous Trucks for Future Markets

  • Aurora believes that their autonomous trucks will make it easier and faster to enter new markets.
  • The trucks are capable of adapting to different regions, making expansion more efficient.

Working with Customers for Expansion

The speaker mentions that while there will be some incremental validation, most of the expansion process will involve working with customers to determine where it would be most useful for Aurora to go next.

Collaborating with Customers for Expansion

  • There will be small amounts of incremental validation during the expansion process.
  • However, the main approach is working closely with customers.
  • Aurora aims to understand where their services would be most useful based on customer needs.

Challenges Faced by Other Companies in Autonomous Trucking

The speaker highlights that many companies attempting autonomous trucking operations have faced challenges, leading some of them to shut down.

Challenges Faced by Other Companies

  • Over the past 12 months, several companies focusing on self-driving trucks have shut down.
  • Starsky Robotics and Embark are examples of companies that closed their operations.
  • TuSimple, a San Diego-based autonomous truck startup, is leaving the U.S. market to focus on China and Asia.

Expectation of Companies Failing

The speaker expresses the expectation that most companies attempting autonomous trucking would fail.

Expectation of Company Failures

  • The speaker states that they expected most companies in the autonomous trucking industry to fail.
  • Aurora has been focused on survival from day one.

Expensive Nature of Autonomous Trucking

The speaker acknowledges that autonomous trucking has been expensive, with significant capital investment required for operation and research and development (R&D).

Costly Nature of Autonomous Trucking

  • Aurora incurred a loss of $1.7 billion last year.
  • Operating and advancing R&D functions in autonomous trucking require substantial capital investment.
  • Investors may not see real payback for a long time.

Regulatory Challenges for Autonomous Trucks

The speaker discusses the potential regulatory challenges faced by autonomous trucks, including restrictions on where they can operate.

Regulatory Considerations for Autonomous Trucks

  • Even if autonomous trucks succeed technologically, they will still be bound by regulations.
  • State laws could potentially prohibit the operation of autonomous trucks in certain areas.
  • It is crucial to have a supportive regulatory environment for successful implementation.

Liability Concerns and Questions

The speaker highlights concerns about liability in case of accidents involving autonomous trucks and mentions that both trucking companies and policymakers have many questions regarding responsibility.

Liability Concerns and Questions

  • There are many unanswered questions about liability if an accident involves an autonomous truck.
  • Trucking companies are particularly concerned about this issue.
  • Policymakers and legislators also have questions and need to understand the risks and opportunities associated with autonomous trucks.

Concerns of Truck Drivers

The speaker addresses concerns from truck drivers who worry about being replaced by autonomous trucks.

Concerns of Truck Drivers

  • Truck drivers are worried about losing their jobs to machines.
  • Autonomous trucks are controversial among truck drivers, as they fear immediate job loss.
  • While complete replacement is unlikely, there will be emotional impact among the driver population.

Driver Shortage and Retention Issues

The speaker discusses the ongoing driver shortage in the trucking industry and highlights retention problems as a significant factor contributing to the shortage.

Driver Shortage and Retention Challenges

  • The average age of truck drivers has been increasing over the years.
  • There is a retention problem rather than just a shortage, as many new CDL holders leave the profession within 90 days.
  • Long hours on the road and lack of work-life balance contribute to high turnover rates.

Role of Autonomous Trucks in Alleviating Driver Shortage

The speaker explains how Aurora sees autonomous trucks helping alleviate the driver shortage by allowing more drivers to focus on short local deliveries instead of long drives.

Alleviating Driver Shortage with Autonomous Trucks

  • Aurora believes that autonomous trucks can help address the driver shortage issue.
  • Instead of long-haul drives, more drivers can focus on shorter local deliveries.

New Section

The speaker discusses the importance of addressing driver fatigue and accidents on the road, as well as the potential for self-driving technology to improve safety and create new job opportunities.

Addressing Driver Fatigue and Accidents

  • The speaker highlights the issue of drivers being tired and fatigued while driving.
  • The development of self-driving technology in Aurora aims to reduce the amount of time drivers spend on the road and decrease accidents.

Ancillary Jobs in Self-Driving Operations

  • The implementation of self-driving technology will create ancillary jobs to support its operations.
  • These jobs can be compared to airport command centers where planes are directed for landing. Drivers can look forward to working in these departments.

Complementing People Driving

  • Autonomous trucks will not completely replace human drivers, especially in regions with challenging weather conditions like snowfall north of Interstate 40.
  • Automated driving is expected to complement human drivers, allowing current truck drivers to retire as truck drivers while still utilizing their skills.

Improving Safety and Moving Goods

  • Over the next few decades, there will be significant improvements in road safety due to autonomous driving technology. This will make it easier to transport goods worldwide.

Regulatory Framework for Success

  • To ensure the success of autonomous trucking, manufacturers and industry stakeholders must invest significant effort in establishing a suitable regulatory framework.
  • Anticipate backlash as this technology becomes more prevalent, emphasizing the need for proactive measures in navigating its adoption.

Embracing New Possibilities

  • Despite concerns about AI leading to negative consequences, such as the end of civilization, there is potential for a positive future with reduced fatalities and accidents.
  • The speaker acknowledges that new challenges may arise, but encourages embracing the possibilities of this technology.
Video description

Trucking is an integral part of the economy, representing over 70 percent of freight moved in the United States. Yet it is dogged by driver shortages, safety issues and supply chain challenges. Pittsburgh-based Aurora is hoping to solve these problem and more by bringing self-driving technology to trucks. While other self-driving companies like Starsky Robotics, Embark and TuSimple have folded or scaled back efforts in the U.S., Aurora is moving ahead and is now delivering loads for customers like Uber Freight and Fedex in Texas. CNBC got an exclusive behind-the-scenes look at its self-driving operation outside of Dallas to see what a driverless future for trucks could look like. Chapters: 2:54 Ch 1 Aurora 5:58 Ch 2 Self-driving in Texas 9:34 Ch 3 Challenges Produced, Shot and Edited by: Andrew Evers Supervising Producer: Jeniece Pettitt Additional Camera: Katie Tarasov Animation: Jason Reginato Narration: Robert Ferris Additional Footage: Getty Images, Aurora, Starsky Robotics, Embark, TuSimple » Subscribe to CNBC: https://cnb.cx/SubscribeCNBC » Subscribe to CNBC TV: https://cnb.cx/SubscribeCNBCtelevision About CNBC: From 'Wall Street' to 'Main Street' to award winning original documentaries and Reality TV series, CNBC has you covered. Experience special sneak peeks of your favorite shows, exclusive video and more. Connect with CNBC News Online Get the latest news: https://www.cnbc.com/ Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC Follow CNBC News on Facebook: https://cnb.cx/LikeCNBC Follow CNBC News on Twitter: https://cnb.cx/FollowCNBC Follow CNBC News on Instagram: https://cnb.cx/InstagramCNBC #CNBC How Aurora Got Self-Driving Trucks On The Road