Google Shifting Away From Self-Driving Car: Good News For Tesla?

It shouldn't be brushed off as a coincidence that shares of Tesla Motors Inc TSLA gained more than 4 percent following a report that Alphabet Inc GOOG GOOGL will no longer develop its own self-driving car.

The Information reported that Alphabet's Google unit shifted its strategy from developing its own autonomous vehicle and will now seek partnerships with existing car makers to maintain a presence in the space.

Tesla is among a small handful list of companies that are active in the autonomous driving space and is considered by some analysts to be the current winner. Needless to say, Google's seemingly unlimited resources and cash hoard by default makes it a rival that can never go away - unless they themselves call it quits.

Even if Google is no longer manufacturing a self-driving car, it's looking to remain a dominant player in the space. For instance, Google is likely working an autonomous taxi service, officers carpooling through its Waze business.

TechCrunch added that Google is hosting a media event to showcase its self-driving car business next Tuesday and more information on what the company is doing (and what it isn't) should be made more clear.