Munich taxi operator MTZ signs letter of intent for up to 500 Tensor Robocars

Münchner Taxi Zentrum (MTZ), Munich's largest taxi operator, has signed a letter of intent with Tensor Auto to run up to 500 Tensor Robocars as autonomous taxis in German cities, the companies said on Oct. 27.

The taxi company, not the robot-car developer, would run the service. MTZ would operate the cars under its own brand and through its existing dispatch system, so riders book with MTZ as they do today, and it would decide with the city where and when the fleet runs. Tensor sells the car and charges a recurring subscription it calls Autonomous Driving as a Service (ADaaS) for the driving software, fleet tools, service and training. Financial institutions would finance the fleets. "MTZ, not Tensor, operates the vehicles," the release says.

The 500 cars are a starting figure under a letter of intent, subject to definitive agreements and Level 4 approval in Germany. The partners also aim to place 10,000 more Robocars with European operators within 24 months of the car becoming available in Europe. MTZ CEO Gregor Beiner chairs Taxis 4 Smart Mobility, a coalition of taxi groups from six countries. The companies put the market at about 50,000 taxis in Germany.

In Germany, the Kraftfahrt-Bundesamt (KBA) grants national type approval for Level 4 vehicles, and each operating area needs separate approval from a state authority. That national approval is capped at 250 registrations per vehicle type per year.