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This Week in AV News

By Eric Tanenblatt, Peter Stockburger, and Walker Boothe
September 16, 2024
  • Autonomous Vehicles
  • Driverless Commute
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A Popular Rideshare Platform and Waymo Partner for Driverless Rides in Austin and Atlanta

A popular rideshare platform is taking a significant step in its autonomous vehicle strategy by partnering with Waymo to offer driverless rides in Austin and Atlanta. The rides, powered by Waymo’s fully autonomous cars, will be integrated into the popular rideshare platform’s app, making it easier for users to book a driverless ride alongside traditional options. This collaboration marks a shift for the popular rideshare platform, which has previously faced challenges in its autonomous vehicle efforts, particularly after selling its Advanced Technologies Group to Aurora in 2020.

Waymo, owned by Alphabet, has been at the forefront of autonomous driving with its Waymo One service, which already operates in Phoenix. The expansion into two new major US cities is a big step for Waymo’s ambitions, as it aims to scale up its robotaxi operations. Both companies are betting on the increasing demand for convenient, autonomous transport, particularly in tech-forward cities like Austin and Atlanta, where public perception of autonomous vehicles is generally more positive.

This move comes as competition heats up in the robotaxi market, with other players like Cruise, Zoox, and Motional pushing to get their self-driving vehicles on the road​.

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Nuro Shifts Strategy to Licensing Self-Driving Technology

Nuro, once known for its small autonomous delivery robots, is taking a major pivot in its business model. The company will now focus on licensing its self-driving technology to car manufacturers and mobility providers, opening new revenue streams and expanding its influence in the autonomous driving space.

This pivot comes after Nuro faced challenges scaling its delivery robots for mass production. Rather than focusing solely on delivery, Nuro seeks to embed its technology into other platforms, such as passenger vehicles, shuttles, and even heavy-duty trucks. Licensing will allow Nuro to reach a broader audience as more companies seek reliable autonomous driving solutions to integrate into their operations.

In this new model, Nuro’s tech could be deployed across diverse environments, from city streets to closed campuses, helping solve various transportation challenges. The licensing strategy positions Nuro as a critical player in developing autonomous tech without the overhead of manufacturing vehicles themselves​.

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China’s Race for Leadership in AI-Powered Autonomous Driving

China, already a global leader in electric vehicle (EV) production, is now setting its sights on dominating the AI-powered autonomous driving market. With strong government backing, Chinese automakers and tech companies are investing heavily in artificial intelligence (AI) to power self-driving cars. This effort aligns with China’s broader strategic goals of technological self-sufficiency and global leadership in AI.

Leading companies like Baidu, Pony.ai, and Xpeng Motors are at the forefront of this movement. Baidu, for instance, has launched its Apollo Go robotaxi service in several cities, while Xpeng is integrating advanced driver assistance systems (ADAS) into its cars, moving closer to full autonomy.

China’s push into autonomous driving is not just about competing with US; it’s also a response to internal challenges. With a rapidly aging population and increasing urbanization, autonomous driving is seen as a solution to labor shortages and traffic congestion. Moreover, by controlling the technology stack—from AI algorithms to hardware manufacturing—China can reduce its reliance on foreign suppliers, a priority amid ongoing trade tensions with the US.​

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Jacksonville Becomes a Hub for Autonomous Vehicle Manufacturing

In an exciting development for Florida’s technology and manufacturing sectors, Jacksonville will soon be home to a significant autonomous vehicle (AV) manufacturing facility. Holon, a German autonomous vehicle company, is investing $100 million to build this facility to manufacture electric, self-driving shuttles. These shuttles will be part of Jacksonville’s ambitious Ultimate Urban Circulator (U2C), a system designed to modernize public transit by introducing AVs across downtown and surrounding neighborhoods.

The 491,000-square-foot facility is expected to create hundreds of high-tech manufacturing jobs and position Jacksonville as a critical player in the autonomous mobility sector. By 2026, the facility will produce thousands of AVs annually for the US market and beyond, with customers ranging from municipalities to private operators and industries like healthcare and tourism.

Jacksonville’s U2C system will start using autonomous electric vans along Bay Street, with full integration of AVs into the city’s transportation infrastructure planned in phases. The project aims to make Jacksonville a model for innovative city initiatives, incorporating the latest AV technology to improve safety and efficiency. In addition to the jobs and economic growth, this move reinforces Florida’s growing reputation as a hub for high-tech innovation​.

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The Reality Check for Self-Driving Cars

Despite the buzz around autonomous vehicles, the reality of truly driverless cars is still far from what many envision. While companies like Tesla, Waymo, and Cruise market their technologies as “autonomous,” most still require significant human oversight. Tesla’s “Full Self-Driving” (FSD) software, for example, cannot operate without human intervention, and regulators have been cautious about allowing fully driverless cars on public roads.

One of the industry’s biggest challenges is the complexity of navigating real-world conditions. Cities present a dynamic and unpredictable environment where self-driving cars must contend with pedestrians, cyclists, construction zones, and weather changes. Companies are investing heavily in AI and machine learning to improve vehicle decision-making in these situations, but fully autonomous driving, without any human involvement, remains elusive.

Furthermore, consumer trust is a significant hurdle. High-profile accidents involving autonomous vehicles have raised safety concerns, making it difficult for the public to embrace the technology entirely. Until these vehicles can reliably outperform human drivers in all conditions, genuine autonomy will remain just out of reach​.

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Eric Tanenblatt

About Eric Tanenblatt

Eric Tanenblatt is the Global Chair of Public Policy and Regulation of Dentons, the world's largest law firm. He also leads the firm's US Public Policy Practice, leveraging his three decades of experience at the very highest levels of the federal and state governments.

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Peter Stockburger

About Peter Stockburger

Peter Stockburger is the office managing partner for the Firm’s San Diego office, a member of the Firm’s Venture Technology and Emerging Growth Companies group, and co-lead of the Firm’s Autonomous Vehicle practice. With a focus on data privacy and security, Peter works with clients of all sizes and maturity to build and shore up their privacy and security programs, deploy technology, enhance compliance and stakeholder confidence, take new products to market, work through data governance and retention challenges, navigate workplace disputes, and harness emerging technologies such as artificial intelligence.

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Walker Boothe

About Walker Boothe

Walker Boothe is an associate managing director in Dentons’ Public Policy and Regulation practice.

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