LAS VEGAS: Zoox, an autonomous vehicle manufacturer from Amazon, will start charging passengers for Paid Robotaxi Rides in Las Vegas, revealed the company Wednesday, just a few days after the regulatory body of the United States granted approval for the commercial launch of its completely driverless cars that do not have any human controls.

The Zoox electric car, which includes two rows of inward seating arrangement, is ferrying passengers freely in Las Vegas, San Francisco, Austin, and Miami. This is done during the testing phase. The launch of the paid Zoox robotaxis in Las Vegas will be the first time that the firm is trying to charge the passenger for their services.

This launch will further escalate the competition in the American robotaxi sector, which is currently home to paid robotaxi services offered by Alphabet’s Waymo as well as those by Tesla, which have been launched recently. With different players competing to develop autonomous ride-sharing systems, Zoox is adding yet another competitor to the growing list of rivals.

The Zoox will launch paying rides for its customers in Las Vegas starting Monday. Pricing is expected to be on par with the “comfort” level pricing of other ride-hailing services, according to the press release of the company. The comfort level includes the provision of more spacious vehicles that cost around 20% to 40% more expensive compared to regular rides. Zoox, however, did not specify its plans to roll out paid rides in other cities where it conducts its tests.

Zoox is now the first autonomous ride-hail company to receive an exemption from the National Highway Traffic Safety Administration (NHTSA) concerning federal laws that mandate the presence of human control mechanisms in automobiles. This represents an important development for firms developing robotaxis from scratch, as opposed to just fitting autonomous driving technology into regular automobiles. Nonetheless, the exemption applies only to 2,500 vehicles per year for the next two years, indicating that the expansion by Zoox under the exemption has its own limits.

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According to NHTSA, it found that the Zoox vehicle met the same level of safety as an equivalent vehicle that meets Federal Motor Vehicle Safety Standards. But there were other obligations imposed by the agency that involved things like crashes and inappropriate halts of the vehicle while on roadways.

Zoox has said that the fares will be determined by a combination of a flat fee plus a fare calculated on the basis of time and distance, using the most suitable route. In addition, any extra fees related to a particular destination like airport, will be revealed before the ride commences. Furthermore, riders will not incur higher charges just because the robotaxi takes a longer route than initially anticipated.

Robotaxis continue to be scrutinized for safety reasons, mainly due to the fact that these self-driving cars are still struggling to handle emergency scenes and their interaction with other road users. Zoox, for example, has had to do multiple recalls of its software within the last two years, the latest one being in July, when one of its robotaxis had difficulty detecting heavy smoke from an emergency scene.