Company Governance Questions
TuSimple is a global autonomous driving technology company, headquartered in San Diego, California with operations in Arizona, Texas, China, Japan, and Europe. Founded in 2015, TuSimple is developing a commercial-ready Level 4 (SAE) fully autonomous driving solution for long-haul heavy-duty trucks. TuSimple aims to transform the $4.0 trillion global truck freight industry through the company’s proprietary leading autonomous vehicle technology which makes it possible for trucks to see 1,000 meters away, operate nearly continuously while using 10% less fuel than trucks on the road today.
TuSimple was founded in September 2015.
There are three key areas that set TuSimple apart:
- Most Advanced Software: TuSimple has developed the industry-leading autonomous system specifically designed to meet the unique demands of heavy-duty trucks. Our proprietary software allows trucks to operate nearly continuously on highways and surface streets day and night, rain or shine.
- Strongest Industry Partnerships: TuSimple has established an unprecedented ecosystem of strategic partners bringing together world-class suppliers and manufacturing partners. Some of our strategic partners include Navistar, TRATON, Penske, NVIDIA, ZF and many more.
- Winning Go-To Market Strategy: TuSimple created the world’s first and most advanced Autonomous Freight Network (AFN) allowing autonomous trucks to transport freight from A to B safely and reliably. The AFN is currently active today and utilized by shippers, carriers and fleets.
TuSimple currently operates across the states of Arizona, New Mexico, and Texas. The company plans to expand service coast to coast by 2023 and nationwide to the lower 48 states in 2024.
The Autonomous Freight Network (AFN) is a freight transportation network allowing autonomous trucks to move freight from point to point to strategically located, high volume locations. The AFN is made possible through an ecosystem consisting of autonomous trucks, digital mapped routes, strategically placed terminals, and TuSimple Connect, a proprietary autonomous operations monitoring system. Collectively these components work together to create reliable, low-cost freight capacity.
TuSimple’s self-driving trucks are safer because they can see more and react faster than a human driver. Unlike a human driver, TuSimple trucks can see all around the vehicle, and they can detect and react to potential threats faster. The average reaction time of a TuSimple truck is more than 15 times faster than a human thanks to its industry leading perception system that makes 600 trillion operations per second. The system also increases safety because it never drinks, never texts, never gets tired. The technology is designed to drive the steadiest and safest path possible.
Currently in this phase of development, TuSimple operates with a trained safety driver behind the wheel to monitor the system, and a safety engineer in the passenger seat while operating autonomously. TuSimple safety drivers have an average of 20 years of trucking experience.
TuSimple’s autonomous driving technology offers game changing advantages such as:
- Safety: We believe TuSimple technology has the potential to set a new standard for safety by reducing the number of accidents and fatalities. While more than 90% of accidents today are caused by human errors often caused by impared or distracted driving, our technology can operate nearly continuously without ever getting tired or distracted. Our autonomous system is also capable of seeing more, processing more information and reacting 15X faster than a human driver.
- Efficiency: TuSimple’s autonomous system allows heavy duty trucks to operate nearly continuously, stopping only refueling and preventative maintenance. By increasing the operational up-time of every autonomous vehicle we’re able to significantly increase capacity while reducing operating costs.
- Reduce Each Truck’s Carbon Footprint: TuSimple technology allows autonomous trucks to use approximately 10% less fuel than trucks driven by human drivers. In December 2019, we announced research results from UC San Diego’s Jacobs School of Engineering that show TuSimple’s autonomous technology significantly reduces fuel consumption of heavy-duty trucks by at least 10%. The reduction of fuel consumption leads to a reduction in millions of metric tons of greenhouse gasses (GHG).
- Address the driver shortage: According to the ATA there is a driver shortage of more than 60,000 qualified professional truck drivers. That shortage is expected to get significantly worse in the coming years as our on demand economy places more demand on our logistics system than ever before. Autonomous technology The driver shortage is currently estimated at 60,000 drivers, and over the next decade, the trucking industry will need to hire roughly 1.1 million new drivers, or an average of nearly 110,000 per year. Young people aren’t becoming drivers and the average age of a driver is 55 years old.
TuSimple trucks are SAE Level 4 which means they can achieve full automation without human intervention under defined driving conditions. Most other autonomous trucks are operating at SAE Levels 1 through 2 and, according to SAE guidelines, Levels 1 through 3 require consistent human intervention.