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Baidu (BIDU, Financials) is planning to bring its Apollo Go robotaxi service to Europe later this year, according to a person familiar with the matter. The Chinese tech company is eyeing Switzerland and Turkey as its first European markets, as it steps up international ambitions for its driverless taxi business.
Apollo Go already operates fully autonomous taxis in several Chinese cities, including Beijing suburbs and Wuhan, where more than 70% of rides were driverless as of April. The company expects that figure to hit 100% in the coming quarters. Fares are often subsidized, making the service more accessible as Baidu continues testing and expansion.
In recent months, Baidu has announced plans to launch Apollo Go in Dubai and Abu Dhabi and has begun testing in Hong Kong. The company declined to comment on its European move when contacted by CNBC.
Chinese regulators typically approve fully autonomous operations after phased testing, including trials with and without safety drivers. The regulatory process has allowed Baidu to steadily scale Apollo Go across major cities at home.
The international push comes as competition in the robotaxi space heats up. Pony.AI, a rival backed by Toyota, recently announced a partnership with Uber to bring its vehicles onto the U.S. platform, with plans to expand into the Middle East this year.
Baidu's ability to manage local regulations, infrastructure challenges and competition will be key as it tries to establish a foothold outside China. Investors following the company's autonomous vehicle strategy will want to watch how the European launch unfolds.
This article first appeared on GuruFocus.