Waymo Co-CEO Calls Uber Partnership 'Crapshoot' as Company Plots Its Exit

Waymo plans to end its exclusive robotaxi partnership with Uber Technologies (NYSE:UBER) in Austin and Atlanta by January 2028. 

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Currently, riders in both cities can book Waymo robotaxis through Uber’s platform. However, Waymo plans to expand its standalone app to the two markets, allowing customers to hail rides directly through the company, Bloomberg reported.

Waymo co-CEO Tekedra Mawakana said the partnership with Uber was a “crapshoot” for riders, stating that the company wants greater control over the customer experience through its own app.

"In the early days, we would partner because we didn’t have the scale, and in that partnering, it was a little bit of a crapshoot. Will I get a Waymo? Will I not get a Waymo?," Mawakana said in an interview on The Circuit with Emily Chang, as reported by Bloomberg.

Mawakana stated that the company decided to end the partnership in those two cities after learning that riders have a hard time securing a ride. While users can request a self-driving vehicle through the app, they are only matched with one if a robotaxi is available nearby.

The co-CEO noted that Waymo’s technology still needs improvement. 

Over the past year, its robotaxis have been the topic of conversation, as the self-driving vehicles have been seen driving through construction zones and attempting to navigate flooded roads. In May, Waymo issued a recall for more than 3,791 autonomous vehicles following a software glitch.

"We are still and always learning," Mawakana said, adding that autonomous driving systems cannot anticipate every possible road scenario in advance.

Waymo Has Bigger Plans, But Profitability Remains a Question

Waymo’s path to profitability remains uncertain as the company continues to spend heavily on fleet expansion, market growth, research and development, and maintenance. Its rides also tend to cost more than traditional taxis or ride-hailing services, potentially putting off price-conscious customers.

Mawakana noted that "price is not the first priority, stating that Waymo is not looking to compete in "a race to the bottom" on fares. Instead, the company wants to focus on improving the rider experience over time.

Beyond ride-hailing, Waymo hopes to generate revenue by licensing its autonomous driving technology to automakers, which could use it in vehicles sold directly to customers.

Waymo has previously relied on partners such as Uber and Lyft and fleet management companies to help operate its 4,000-vehicle fleet across the U.S. The company currently provides more than 500,000 rides per week across 14 cities.

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