{ "docId": "019dd923-622c-750b-8b98-455ec9c0494d", "docSlug": "a408d79c90df", "documentTitle": "Aurora Innovation, Inc. (AUR)", "authorId": "53_Kerrisdale_Capital", "authorName": "Kerrisdale Capital", "documentKindSlug": "research-note", "documentKindLabel": "Research note", "sourceTypeSlug": "short_seller", "sourceTypeLabel": "Short seller", "presentationDate": "2025-08-01 00:00:00", "orientation": "portrait", "aspectRatio": 0.77272725, "pageNumber": 32, "pageCount": 45, "prevPage": 31, "nextPage": 33, "slideType": "villain_critique", "function": "expose_contradiction", "density": "dense", "nDataPoints": 3, "notes": "The slide uses a narrative structure to dismantle the company's claims about hardware costs and the economic viability of their per-mile fee model.", "elementsJson": [ "paragraph", "bullet_list" ], "metadataConfidence": 0.95, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b98-455ec9c0494d/32", "deckHref": "/decks/019dd923-622c-750b-8b98-455ec9c0494d", "deckJsonHref": "/decks/019dd923-622c-750b-8b98-455ec9c0494d.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b98-455ec9c0494d#slide-32", "components": [ { "bbox": { "h": 0.03, "w": 0.5, "x": 0.11, "y": 0.26 }, "kind": "callout", "text": "The first claim is highly misleading and the second claim is flat out untrue.", "attrs": null, "subkind": "primary", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "cccafc9d-be5a-401f-adb5-02bb48a32166", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.78, "x": 0.11, "y": 0.17 }, "kind": "list", "text": "Whatever they cost, the sensors and hardware necessary for the Aurora Driver are going to be part of the per-mile fee Aurora charges for the software under its DaaS model so they don't actually make the truck more expensive. There's 'minimal' new hardware on the truck, so the base truck's price will be 'roughly in line with what it costs to buy a truck today.'", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "98a26785-000d-4c75-aa86-f72f801ae7bc", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.78, "x": 0.11, "y": 0.09 }, "kind": "paragraph", "text": "Urmson distinguishes between two kinds of incremental hardware on autonomy-enabled trucks: a) the hardware (like sensors) directly necessary for the Aurora Driver and b) any other equipment, systems, or parts that might be necessary in an autonomous truck that wouldn't be necessary in a regular manned vehicle.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "02efcbbf-cacb-40e7-bed4-d675215b53ad", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.78, "x": 0.11, "y": 0.31 }, "kind": "paragraph", "text": "Let's start with the self-driving hardware: the sensor suite and the electronic control unit (ECU)... For the next generation of trucks... the components 'will be manufactured by a contract manufacturer (Fabrinet) for integration with the autonomy-enabled truck platforms produced by' Volvo and PACCAR, with the main advantage being a 40% reduction in the cost of the computer.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "226332e7-64fa-43fd-99ea-1c74378c5554", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.18, "w": 0.78, "x": 0.11, "y": 0.47 }, "kind": "paragraph", "text": "Aurora's 'hardware as a service' (HaaS) plan is slated to come into effect in 2027... The idea behind 'HaaS' is basically that Continental will do all the upfront design, development, and tooling work for manufacturing the Aurora Driver hardware but instead of getting paid for it as a vendor by Volvo or PACCAR, Continental will get paid by Aurora some pre-arranged per-mile amount.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "3c7e7a17-30a9-44f8-9f7c-1b92ac428971", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.78, "x": 0.11, "y": 0.66 }, "kind": "paragraph", "text": "Still, it should be clear that whatever the amount will be, just because it's pay-as-you-go rather than up-front doesn't mean that the truck is not more expensive... In the end, either Aurora's gross $0.50/mile will net out to less than $0.50, or the customer's $1.19/mile driving cost will be higher than $1.19, leaving Aurora that much less spread to collect.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "4b7e17de-03fa-4765-aa0a-e6d0aabae3a2", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "Whatever they cost, the sensors and hardware necessary for the Aurora Driver are going to be part of the per-mile fee Aurora charges for the software under its DaaS model so they don't actually make the truck more expensive. There's “minimal” new hardware on the truck, so the base truck's price will be “roughly in line with what it costs to buy a truck today.” — Chris Urmson", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd953-2040-777a-8553-4b0e06a366ca", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [ { "name": "fraud-exposure", "slug": null, "matchId": "8676168b-09a3-495a-864b-e8155ada22ea", "evidence": "The slide explicitly labels company claims as 'misleading' and 'flat out untrue' to expose a gap in the business model.", "confidence": 0.85 } ], "arcBeats": [], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }