New York drops plan to legalize robotaxis in setback for Waymo

New York Gov. Kathy Hochul (D) has dropped her proposal to allow taxi companies to start up commercially in cities other than New York City, citing a lack of support among state lawmakers. Bloomberg Reports today. The move is a blow to Waymo and other robotaxi companies that saw New York, especially New York City, as a potential gold mine.

The plan presented by Hochul as part of The state’s general budget proposal last monthwould have allowed limited deployment of robotaxis in cities other than the Big Apple — leaving whether New York City would get self-driving vehicles up to the mayor and city council. But now that plan is DOA, as support in the legislature never materialized.

“Based on conversations with stakeholders, including the Legislature, it was clear that the support was not there to advance this proposal,” Hochul spokesman Sean Butler said in a statement.

The news represents a setback for Waymo, which has been eyeing New York, especially New York City, for years for the potential launch of its own robotaxi business. according to Politico, Waymo has spent at least $1.8 million since 2019 lobbying Hochul and state lawmakers, as well as city officials.

“While we are disappointed in the governor’s decision, we are committed to bringing our services to New York and will work with the state legislature to advance this issue,” Waymo spokesman Ethan Teicher said in a statement. “The way forward requires a collaborative approach that prioritizes transparency and public safety.”

Under its current rules, self-driving vehicles in New York are only allowed with safe drivers who keep their hands on the wheel. State law originally required a police escort, but a law renewal several years ago removed that language.

Automakers and technology companies testing autonomous vehicles tend to flock to states that have friendlier regulations (such as Arizona and Texas) or places that are more convenient for their headquarters (such as California). New York is not, but it represents one of the largest taxi markets in the world – and therefore a suitable target for robo-taxis.