New York has withdrawn a budget proposal that would have changed state traffic law to allow robotaxis to operate outside New York City, a move that halts Waymo’s latest attempt to expand its service in the state and leaves a more restrictive testing program in place.
Proposal Withdrawn After Lacking Support
Governor Kathy Hochul pulled the measure that would have amended vehicle and traffic laws, according to a spokesperson. Sean Butler, a spokesperson for the governor, confirmed to TechCrunch that the proposal had been removed. “Based on conversations with stakeholders, including in the legislature, it was clear that the support was not there to advance this proposal,” Butler said in an emailed statement. Bloomberg first reported that the plan had been taken out of the budget package.
The decision ends, for now, a pathway that would have allowed autonomous vehicle companies to operate robotaxis in parts of the state outside New York City.
What The Change Would Have Allowed
Hochul had included the plan in her broader budget proposal. It would have changed a state rule that requires drivers to keep one hand on the wheel at all times. That requirement effectively blocks robotaxi operations because no human driver is behind the wheel, if there is a steering wheel at all.
Even if the proposal had moved forward, it would not have opened the market widely. The plan would have barred for-hire robotaxi services in any city with more than one million residents. Companies would have needed approval from the state transportation commissioner, paid a $1 million fee, and shown proof of at least $5 million in financial security. The state would have backed pilots only in cities or townships where there was a clear demonstration of local support, Butler said.
Impact On Waymo’s Plans
The withdrawal is a setback for Waymo, which has spent years trying, along with other autonomous vehicle companies, to test and deploy robotaxis in New York. Waymo said in a statement emailed to TechCrunch that it hears from thousands of New Yorkers who have used the service in other cities and want access at home. The company said riders want the safety, privacy, and comfort that users in other major cities already have.
While expressing disappointment with the governor’s decision, Waymo said it remains committed to bringing its service to New York and will work with the State Legislature to advance the issue. The company added that the next steps require a collaborative approach focused on transparency and public safety and said it will continue engaging with state and local officials.
The Current Pilot Program Remains
With the proposal removed, New York’s existing autonomous vehicle pilot program is expected to stay in place. That program allows companies to seek exemptions to the one-hand-on-the-wheel rule so they can develop and test autonomous vehicles, but it does not allow commercial robotaxi services.
Waymo is currently testing in New York City and is permitted to do so through March 31. City regulators granted Waymo a permit last August to run tests in Manhattan and downtown Brooklyn. Under that permit, the company can operate up to eight Jaguar I-Pace vehicles, provided a human safety operator sits behind the wheel.
Waymo’s Operations Elsewhere
Outside New York, Waymo runs commercial robotaxi services in Atlanta, Austin, Miami, Phoenix, Los Angeles, and the San Francisco Bay Area. The company says it provides more than 400,000 paid rides each week and is aiming to reach 1 million weekly rides by the end of the year.
Featured image credits: Flickr
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