New York taps the brakes on robotaxi expansion plan

Waymo’s big chance to bring a robotaxi to New York state has been scuttled — for now.

New York Governor Kathy Hochul has withdrawn a proposal that would have amended vehicle and traffic laws to effectively legalize robo-taxis in the state outside of New York City. Hochul spokesman Sean Butler confirmed to TechCrunch that the proposal has been withdrawn.

“Based on conversations with stakeholders, including in the Legislature, it was clear that the support was not there to advance this proposal,” Butler said in an emailed statement. Bloomberg was the first to report the proposal’s removal.

The withdrawal represents a setback for Waymo, which has tried for years — along with other autonomous vehicle (AV) companies — to test and eventually deploy robotaxis in New York.

“We’re hearing from thousands of New Yorkers who have tried Waymo in other cities and want access to it at home,” Waymo said in an emailed statement to TechCrunch.

“They want the safety, privacy and convenience that riders in other major cities already enjoy. While we are disappointed by 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.”

“The path forward requires a collaborative approach that prioritizes transparency and public safety. We will continue to work constructively with the Governor, Legislature, and officials across the state to deliver the proven mobility option that New Yorkers have been waiting for,” Waymo’s statement added.

Hochul, as part of her broader budget proposal, introduced a plan to change a state law that requires drivers to keep one hand on the wheel at all times. This law essentially prevents taxi companies like Waymo from operating in the state since there is no human behind the wheel — if there is a steering wheel at all.

Even if Hochul’s proposal had survived, it would not have opened the door to autonomous vehicle companies. The proposal has a number of restrictions, including that autonomous vehicle companies cannot deploy robotaxi services for hire in any city with a population of more than 1 million people. Autonomous vehicle companies will also need approval from the state transportation commissioner, pay a $1 million fee, and show proof of financial security of at least $5 million. Butler said the state would only support robotaxi pilots in cities or towns where there is clear evidence of local support.

With that proposal expiring, the state’s current autonomous vehicle program, which is much more restrictive, is expected to remain in place. Under the pilot program, companies can seek an exemption from the one-handed driving rule, allowing them to develop and test self-driving vehicles in the state, but not launch commercial robotaxi services.

Waymo is currently conducting tests in New York City, and is allowed to do so through March 31.

New York City regulators last August granted Waymo a permit to test its robotaxis in the city. Under this permit, Waymo is allowed to test up to eight Jaguar I-Pace vehicles in Manhattan and downtown Brooklyn, as long as there is a human safety operator behind the wheel.

Waymo is active in several other states and operates commercial taxi services in Atlanta, Austin, Miami, Phoenix, Los Angeles and the San Francisco Bay Area. The company says it provides more than 400,000 paid rides every week and aims to reach one million rides per week by the end of the year.