Hochul slams brakes on NYC robotaxi plan

(The Center Square) — New York Gov. Kathy Hochul is hitting the brakes on plans to allow robotaxis to operate on the state's roadways, following pushback from labor unions, transit workers, and rideshare drivers.

During her state of the state address last month, Hochul floated the idea of allowing commercial robotaxi services, like Waymo and Alphabet, to begin operating in cities and towns outside of New York City if local officials approve pilot testing of the autonomous vehicles. But on Wednesday, the Hochul administration said it was walking back to those plans amid opposition.

"Based on conversations with stakeholders, including the legislature, it was clear that the support was not there to advance this proposal," a Hochul spokesperson said in a statement.

The move comes as a blow to California-based Waymo, which had planned to expand its ride-hailing service to New York this year as part of his nationwide plans to develop the industry. The company has been testing its vehicles with human drivers in New York City under a previous agreement with the state.

A spokesperson for Waymo said it was "disappointed" by the governor's reversal on the plan but said the company isn't giving up on the New York market.

“We’re committed to bringing our service to New York and will work with the State Legislature to advance this issue," Waymo spokesperson Ethan Teicher said in a statement. "The path forward requires a collaborative approach that prioritizes transparency and public safety."

The company was granted a permit in August from the New York Department of Transportation to begin testing in the city, a plan that was approved by former Mayor Eric Adams, who stepped down in January.

But Hochul's plan to allow the company to enter into agreements with New York cities and towns drew scrutiny from labor unions, rideshare drivers and transit workers, who raised concerns about safety risks and potential job losses from robotaxis entering the market.

“Waymo thinks by targeting Buffalo and Rochester it can divide and conquer our driver-led movement,” Bhairavi Desai, executive director of the 28,000-member Taxi Workers Alliance, said in a statement. “But, once again, billionaire tech bosses underestimate workers at their own peril."

The Independent Drivers Guild, which represents about 80,000 for-hire drivers, recently collected more than 20,000 signatures on a petition to ban autonomous vehicle testing and services in the city and state.

New York City Mayor Zohran Mamdani, an advocate for taxi drivers, has also been critical of allowing driverless vehicles for hire to operate in the city.