Uber has announced a strategic partnership with Chinese robotaxi developer Pony AI to integrate self-driving vehicles into its ride-hailing platform, marking a significant step in the company’s expansion into autonomous transportation.
The collaboration, set to debut in a key Middle Eastern market later this year, will see Pony AI’s autonomous vehicles deployed initially with a safety operator onboard. The companies plan to transition to fully autonomous operations following a successful pilot phase.
This latest partnership is part of Uber’s ongoing strategy to strengthen its position in the burgeoning robotaxi sector, where it faces competition from rivals such as Lyft and electric vehicle manufacturer Tesla. In recent weeks, Uber has forged new alliances with self-driving technology firms May Mobility and Momenta and expanded its collaboration with Chinese autonomous driving company WeRide to extend services to 15 more global cities. Additionally, last year saw Uber broaden its partnership with Alphabet’s Waymo.
News of the deal sent US-listed shares of Pony AI, which went public on Nasdaq in November, up nearly 13% in premarket trading, while Uber shares dipped slightly by 1%.
The autonomous vehicle industry continues to attract significant investment despite the technical and regulatory challenges it faces. Governments, including the US federal administration, are actively supporting the sector by relaxing certain safety requirements while maintaining essential incident reporting mandates.
Founded in 2016 and backed by Toyota, Pony AI has rapidly expanded its footprint in the robotaxi space. The Guangzhou-based company has secured licences to operate robotaxis in major Chinese cities, including Beijing, Shanghai, Guangzhou and Shenzhen, and is actively exploring further expansion into South Korea, Luxembourg, the Middle East, and other international markets.
By leveraging Pony AI’s advanced autonomous technology, Uber aims to bolster its competitive edge in the global ride-hailing market, capitalising on the growing momentum in the self-driving taxi sector.
–Reuters