(Bloomberg) -- Uber Technologies Inc. on Tuesday will begin offering its customers driverless Waymo rides in Austin, marking the official start of a planned launch between the two companies.
Riders who request an UberX, Uber Green, Uber Comfort or Uber Comfort Electric could be matched with Waymo’s electric Jaguar vehicles at no additional cost, the company said in a statement Tuesday. Customers will have the option to accept or switch to a non-driverless vehicle before a nearby Waymo is dispatched. Uber told users last month they could increase their chances of being sent an autonomous vehicle if they indicated their preference in the Uber app.
The launch is part of a multiyear partnership between Uber and Alphabet Inc.’s Waymo. The rideshare giant, best known for its large network of human drivers, has ambitions of expanding its share of the growing driverless-rides market.
Uber and rideshare peer Lyft Inc. previously shut down costly efforts to research and develop their own self-driving technology. Since then, their autonomous strategy has involved teaming up with driverless-vehicle makers, autonomous-software developers and local fleet managers. Uber has struck more than a dozen global partnerships to deploy self-driving technology across its rideshare, delivery and freight businesses.
Uber first began offering Waymo rides and deliveries in Phoenix, Arizona, in 2023. While Waymo also offers rides through its own consumer app in Phoenix, Uber said last fall that its app would be the sole platform offering Waymo rides in Austin. Uber will also be the exclusive provider of Waymo rides in Atlanta starting this summer.
In Austin and Atlanta, Uber will manage Waymo fleet services such as car cleaning, maintenance and charging in partnership with Spanish fleet operator Avomo, according to the statement. Uber in 2021 bought a 30% minority stake in Avomo, formerly known as Moove, according to Uber’s most recent annual report. It also pledged to invest as much as $185 million into Avomo through early 2029. Waymo remains responsible for vehicle testing, roadside assistance and certain aspects of rider support, Uber said.
Uber’s competition in this space is intensifying, including with its partner Waymo. Alphabet Chief Executive Officer Sundar Pichai said last week that Waymo is providing 200,000 paid trips each week in San Francisco, Phoenix and Los Angeles, cities where customers can book rides through Waymo’s own app. That represents a 20-fold increase in ride volume in less than two years. Waymo also plans to begin service in Miami through its own app early next year.
Meanwhile, Elon Musk has said Tesla Inc. will roll out driverless ridehailing in Austin in June, setting up the automaker to compete with Uber and Waymo. Bloomberg also reported last month that Tesla is seeking approval to offer ridehailing services in California.
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