Uber, Cruise news shows Tesla not only robo-taxi player, says RBC

RBC Capital keeps an Outperform rating on General Motors (GM) after Uber (UBER) and GM Cruise both announced a multiyear strategic partnership where Cruise autonomous vehicles will use the Uber platform. The news affirms RBC’s contention that Tesla (TSLA) will be one robo-taxi player among others even in the U.S. and highlights the value of the Uber App, the analyst tells investors in a research note. RBC assumes the vast majority of robo-taxi revenues will come from an “assortment of players,” not just Tesla. The news also affirms GM’s commitment to autonomy, “which we applaud,” RBC writes. It says GM shares “rarely get credit” for Cruise, and wonders if this could change, especially with all the fanfare surrounding Tesla’s robo-taxi unveil on October 10.