New York Rejects Robotaxi Legalization, Dealing Blow to Waymo

▼ Summary
– Governor Kathy Hochul has withdrawn a proposal to allow commercial robotaxi services in New York cities outside of New York City due to a lack of legislative support.
– The failed proposal would have permitted limited deployment elsewhere while leaving the decision for New York City to local officials.
– This is a significant setback for companies like Waymo, which views New York as a major market and has spent millions lobbying there.
– Waymo is currently testing manually driven vehicles in New York City under a permit that expires soon, while operating driverless services in six other U.S. cities.
– New York state law currently requires autonomous vehicles to have safety drivers with hands on the wheel, making it a restrictive but highly desirable market for robotaxi companies.
The state of New York has officially rejected a proposal to legalize commercial robotaxi services, delivering a significant setback to companies like Waymo that had targeted the lucrative market. Governor Kathy Hochul withdrew the plan from budget negotiations after it became clear there was insufficient support among state legislators. The proposal would have permitted limited autonomous vehicle deployment in cities across the state, excluding New York City, where the decision would have been left to local officials. This legislative failure underscores the persistent regulatory and public acceptance hurdles facing the autonomous vehicle industry, even in major urban markets it views as essential for expansion.
A spokesperson for Governor Hochul confirmed the lack of political will, stating, “Based on conversations with stakeholders, including in the legislature, it was clear that the support was not there to advance this proposal.” The decision directly impacts Waymo, which has long considered New York a strategic priority. Reports indicate the company has invested heavily in lobbying efforts, spending at least $1.8 million since 2019 to influence state and city officials.
Waymo currently tests manually driven vehicles in New York City under a permit set to expire on March 31st. The company operates fully driverless ride-hailing services in six other U.S. cities and has announced ambitions to launch in twenty more by 2026. In response to the news, a Waymo spokesperson expressed disappointment but reaffirmed commitment, saying, “We’re committed to bringing our service to New York and will work with the State Legislature to advance this issue. The path forward requires a collaborative approach that prioritizes transparency and public safety.”
Existing New York state law remains restrictive, only allowing autonomous vehicle testing with a safety driver whose hands must remain on the steering wheel. While an earlier version of the law required a police escort for such tests, that provision was removed several years ago. Automakers and tech companies typically concentrate testing in states with more permissive regulations, such as Arizona and Texas, or those near their operational hubs like California. New York does not fit either category easily, but its status as one of the world’s largest taxi markets makes it an exceptionally attractive, yet challenging, target for robotaxi expansion.
(Source: The Verge)





