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Last week I wrote about Uber and Waymo and how their partnership seems to be deteriorating. I predicted that the two companies would end up on opposite sides of autonomous vehicle policy. It wasn’t a guess.
For the past few weeks, I’ve been talking to sources and digging into correspondence sent to Uber The DC Councilwhich is evaluating a proposed bill that would allow autonomous vehicles to operate in Washington, DC
What I found: Uber and Waymo are already on opposite sides of the proposal, sparring behind the scenes and in public. Uber has made a particularly interesting argument in its efforts to shape the rules governing autonomous vehicles.
Uber, which opposes the D.C. bill, argues that it would displace human drivers for hire and give Waymo a de facto monopoly. Instead, it has lobbied for a system that would require robotaxis to operate on a ride-hailing network alongside human drivers.
Insiders tell me that the “hybrid” approach has little chance of becoming law. But if it did, it would leave AV developers like Waymo with two suboptimal choices: either put their robot axes on ride-hailing apps like Uber, or hire human drivers alongside fleets of robot axes that took years and hundreds of millions of dollars to develop.
A DC Council hearing on Monday drew representatives Lyft, TeslaUber and Waymo, along with dozens of disability rights and accessibility advocates, local business and industry groups, highway safety organizations, government officials, unions and think tanks.
My takeaway — based on the public testimony and the calls and texts I received afterward — is that Waymo is one of the few companies that generally likes the bill. Much of the rest of the industry does not.
Tesla’s senior policy advisor, India Hiremanecho concerns I’ve heard from several AV developers, including objections to the 180-day, 250,000-mile mandatory test requirement; the application fee of DKK 1 million USD; the permit fee of 5 million USD; and the fee of USD 0.15 per mile. Tesla, along with other companies, argued that testing miles accumulated in other jurisdictions should count toward the mileage threshold.
Waymo, which has been testing its AVs with human security operators in Washington, DC, has already surpassed the 180-day, 250,000-mile requirements. That means if the bill passed as written today, Waymo would enter the market at least six months ahead of schedule.
Offer!
Uber is considered a tour-hail and delivery giant. It is now cementing that status through a $14.8 billion deal to acquire Germany’s Delivery Hero.
If the deal closes — and it will certainly take time to overcome the regulatory hurdles — Uber will gain access to nearly 100 markets in Europe, the Middle East, Latin America and Asia. The result: Uber’s delivery footprint will double.
Delivery Hero also made a separate deal to sell its business in 14 markets where Uber Eats already operates to New York-based investment firm SSW Partners for $1.6 billion.
Other offers that caught my attention…
Self-inspectiona San Diego-based startup trying to disrupt the vehicle inspection process raised $10 million in a round led by Sheryl Sandberg’s family office. The tire distributor American AutoForce and the car lender Westlake Financial made strategic investments. Early stage funds Costanoa Ventures, Rebellion Ventures and BrightCap Ventures also invested.
senra, a startup modernizing how wire harnesses are made, raised $65 million in a Series B round led by Lowercarbon and Interlagos, with participation from General Catalyst, Sequoia Capital, Andreessen Horowitz and Founders Fund, among others.
Zeptothe Indian express delivery company, is seeking a valuation in an initial public offering well below its $7 billion maximum, Bloomberg reported, citing anonymous sources.
Notable reads and other goodies
Chip motorsa Miami-based startup, unveiled a low-speed small EV designed for short errands and families and with some automated driving features.
The Los Angeles Police Department is reportedly ending its deal with Flock Safety, a surveillance company that helps law enforcement agencies track vehicles using thousands of its license plate cameras located across the United States.
Lucid Motors is pushing back — and hard — on a report that claimed the electric car maker was considering whether to file for Chapter 11 bankruptcy. The company’s communications team, its CEO and a filing with the US Securities and Exchange Commission all say the same thing: The rumors are false. The initial report sent the company’s stock down more than 50% on Tuesday, its biggest intraday drop ever. The stock has since recovered and is now trading about 28% higher than it was before the big drop.
Lyft managing director David Risher says it’s the “Good Uber,” according to Wired.
Vehicles with manual or standard transmissions is a dying breed, according to preliminary government data showing that only 0.6% of new vehicles manufactured for the United States by 2025 had stick-shifts, the Washington Post reported. I own two manual cars. Does that make me a driving unicorn?
The National Transportation Safety Board said the driver of one Tesla that crashed into a house in June had pushed the accelerator pedal down to 100%, overriding the company’s fully self-driving (supervised) software.
San Francisco mayor Daniel Lurie has called on state regulators to tighten regulations on autonomous vehicles after the Waymo robotaxi became immobile in heavy traffic on July 4, ran out of power and blocked major streets, further exacerbating gridlock. In a letter (parts of which are excerpted here), Lurie outlined four core requirements he would like to see enacted to ensure that robotaxi companies can “perform reliably” during extraordinary events.
SpaceX abruptly aborted the second launch attempt of its upgraded Starship rocket system on Thursday, just moments after the booster ignited at the company’s complex in South Texas.
Zoox issued a software recall after one of its robotic axes was confused by smoke emitting from an emergency fire scene in June.
One more thing…
Uber product manager Sachin Chancellor talking to TechCrunch EIC Connie Loizos about travel, AI agents and playing both sides of the robot taxi race in the latest Strictly VC podcast episode. If you’d rather read the interview, check out the Q&A.
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