A confirmed report from an Uber spokesperson says that the company has just ordered around 24,000 Volvo XC90 SUVs for its line of the driverless fleet. The deal is expected to be in between the year 2019 and year 2021 as reported by Bloomberg News. The deal costs around $1.4 billion in total (As reported by Financial Times).
Volvo XC90 usually costs $46,900 in the U.S. for a base model on consumer pricing and the bulk dealing prices are not confirmed yet. Uber is planning to make these XC90 to get upgraded with advanced technology to make them serve as a driverless car with autonomous driving computing capability.
The company is also testing the car in Arizona, San Francisco and Pittsburgh along with a safety driver to help refine and improve their software. The company has also conjugated with the makers of XC90 to make the car capable of autonomous driving, and the funding for this has been invested from both the sides, as committed last year.
The XC90 will take a testing period with safety driver and then the company will make a test of the car running without safety driver so as to check whether the car is able to give proper autonomous driving. The unit figure of the deal may differ from 24,000 depending on the success of this project. Meanwhile, the company has also mentioned in the deal that they have all the rights to order vehicles from other OEMs to help them raise the quantity.
Many other brands of autonomous vehicles are planning o land their driverless cars on road. Famous brand Alphabet has announced a soon launch of driverless cars for normal users. While big brand Uber is still under planning to cater the same service.
The exact time for the launch of these driverless vehicles is still not clear but it is expected that these vehicles will soon get a place on roads for common users.