Dubai is buying 200 Tesla vehicles as it looks to become a leader in the self-driving-car space.
Tesla will supply 200 Model S and Model X vehicles to the Dubai Taxi Corporation’s fleet, according to The National, a UAE-owned, English-language newspaper. Tesla CEO Elon Musk inked the deal with the Roads and Transport Authority at the World Government Summit in Dubai on Monday.
The deal is part of the Dubai Future Foundation‘s goal of making 25% of car trips autonomous by 2030. The agreement was signed the same day Tesla began selling its electric cars in Dubai, marking its first foray into the Middle East.
The Tesla vehicles will come equipped with the company’s second-generation hardware suite that improves Tesla’s Autopilot capabilities. The hardware will allow the cars to achieve full autonomy, pending further software approval, Tesla has said.
Tesla did not immediately return Business Insider’s request for comment regarding the timeline of the new taxi deal.
Dubai showed off its vision for a driverless future in April when it released a video of a person hailing a self-driving Tesla taxi. The modified Tesla came with an augmented reality map that let passengers select where they want to go.