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Waymo robotaxis at airports could hurt earnings of human drivers

Dec 13, 2024 - businessinsider.com
Waymo One's expansion of robotaxis to airports poses a significant threat to the earnings of Uber and Lyft drivers, as airport rides are among the most profitable for human drivers. Currently, Waymo offers airport trips in Phoenix and is seeking approval in other markets like Los Angeles and San Francisco. The potential for robotaxis to gain widespread access to airports has raised concerns among drivers, who already face increased competition and reduced profitability. Airport trips are crucial for many drivers, providing higher fares and tips, especially from business travelers who can expense their rides.

Waymo is actively pursuing airport expansion in the U.S., with ongoing discussions at major airports and pilot testing at Austin-Bergstrom International Airport. The company has been granted approval for freeway trips in several cities but has not yet made them available to the public. The competitive landscape is intensifying, with other companies like Tesla and Zoox also developing robotaxis. Despite the challenges, some drivers remain hopeful that customers will continue to value the personalized service human drivers offer, such as handling luggage. However, the long-term impact of robotaxis on driver earnings remains a significant concern.

Key takeaways:

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  • Waymo One's expansion into airport rides could significantly impact the earnings of Uber and Lyft drivers, as airport trips are among the most profitable for human drivers.
  • Waymo One is currently offering airport trips in Phoenix and is seeking approval in other markets, including Los Angeles and San Francisco.
  • Drivers express concern about increased competition from robotaxis, which could further reduce their earnings, especially in already competitive markets like Phoenix.
  • While robotaxis pose a long-term threat to human drivers' earnings, some drivers believe that customer service aspects, such as handling luggage, may still give human drivers an edge.
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