Waymo Expands in Austin After Tesla Launches Robotaxi Competitor

Waymo is more than doubling its service territory in Austin as the driverless taxi firm looks to fend off competition from Tesla Inc.

Through its partnership with ride-hailing giant Uber Technologies Inc., Waymo said Thursday that it will now offer autonomous rides across 90 square miles of the city. The service, which launched in Austin about four months ago, previously covered about 37 square miles.

The expansion highlights the growing competition in the Texas state capital, where Tesla rolled out its own long-promised robotaxi service last month to a small group of handpicked initial riders. Chief Executive Officer Elon Musk said last week that it would expand to a larger area in Austin, where Tesla is based.

Tesla’s robotaxis are not yet open to the public, but Musk has pledged to expand rapidly, both in the city and to other markets, including the San Francisco Bay area.

Texas has become a key market for robotaxis, in part due to looser regulations around driverless cars than in some other states. As of late March, Waymo robotaxis accounted for 20% of Uber rides within the initial operating territory in Austin.

Waymo, owned by Google parent Alphabet Inc., offers 24/7 rides with more than 100 vehicles in the city. It also operates in cities including Los Angeles, San Francisco and Phoenix.

The company also began collecting data in New York City this month as it seeks a permit for autonomous testing. New York state requires a vehicle operator in the car when using autonomous driving technology, a law that Waymo says it is advocating to change.

Photo: A Waymo autonomous taxi and a Tesla vehicle for robotaxi testing purposes in Austin, on June 20.