While many competitors in the autonomous vehicle industry remain mired in prolonged testing phases or have ceased operations due to financial struggles, Waymo has steadily built a viable robotaxi business that continues to expand. The company’s latest statistics highlight just how far ahead it is in the race to commercialize self-driving technology.
Among the most notable achievements is the figure of 4 million driverless rides provided in 2024 alone across the three cities where it currently operates: Phoenix, San Francisco, and Los Angeles. Waymo reports a total of 5 million driverless rides in these markets, indicating that the majority of its growth has occurred within the past year.
Waymo’s service area remains relatively modest but is steadily growing. It currently spans 500 square miles across Phoenix, San Francisco, and Los Angeles, with additional operations in Austin, where it is still onboarding riders via a waitlist. The company has announced plans to expand into Atlanta and Miami and has even hinted at testing its technology internationally in Japan.
In total, Waymo riders spent 1 million hours in the company’s autonomous vehicles this year. Since transitioning its fleet entirely to electric vehicles, Waymo claims to have prevented over 6 million kilograms of CO2 emissions. These estimates are based on an avoided emissions rate of 237 grams per passenger mile, an average vehicle occupancy of 1.5 passengers, and an average trip length of 4.1 miles.
To celebrate its achievements, Waymo is rolling out personalized “Year in Review” summaries for its customers through the Waymo One app. Similar to Spotify Wrapped, the feature lets users see their individual stats, including miles traveled, emissions saved, favorite destinations, and more.
Among the top destinations for Waymo riders in 2024 were Sky Harbor International Airport in Phoenix, the Ferry Building in San Francisco, and The Grove shopping center in Los Angeles. Notably, Waymo only began offering 24/7 service to Phoenix’s airport in August 2024, yet it quickly became the most popular destination in the city. This underscores the importance of airport services for Waymo’s long-term strategy, as airports represent a significant revenue stream for ride-hailing giants like Uber and Lyft.
Despite its impressive milestones, Waymo faces a host of challenges as it moves forward. Regulatory and financial pressures could hinder its growth. Potential tariffs on Chinese-made vehicles and software could disrupt the company’s supply chain, and the incoming administration of President-elect Donald Trump has hinted at plans to create a regulatory framework for autonomous vehicles, though specifics remain unclear.
Alphabet, Waymo’s parent company, does not disclose the robotaxi division’s individual costs but reports its financial performance under the “Other Bets” category. In the third quarter of 2024, this unit generated $388 million in revenue, a notable increase from $297 million in the same period last year. Losses for the segment also decreased slightly, from $1.94 billion in 2023 to $1.12 billion in 2024. To sustain growth, Alphabet recently led a $5.6 billion funding round for Waymo, providing the company with additional capital for expansion.
One of the key challenges Waymo faces is pricing. Currently, its services are positioned as a premium option, akin to Uber Black, with fares reflecting the high cost of retrofitting its fleet of Jaguar I-Pace vehicles with advanced sensors and hardware. While Waymo conducts 175,000 trips weekly, this volume is not yet sufficient to offset its significant operational costs.
To remain competitive, Waymo must broaden its range of services and enhance its operational capabilities. At present, the company only services one airport—Sky Harbor in Phoenix—but will need to expand its airport coverage and introduce new service types in existing and future markets. Another area for improvement is highway driving, which Waymo vehicles currently handle only in limited situations.
Safety is another critical concern. Although Waymo has published studies suggesting its vehicles are safer than human drivers, questions about passenger safety persist. Incidents of harassment and vandalism targeting Waymo vehicles have been reported, and there have been occasional conflicts with emergency vehicles. These challenges highlight the need for improved public perception and operational resilience.
Despite these hurdles, Waymo’s ability to offer a customizable ride experience sets it apart. Riders often praise features like the ability to play their own music, adjust the temperature, and personalize other aspects of their journey. This novelty, combined with high customer satisfaction, could help propel Waymo to further growth in 2025.
As the autonomous vehicle market continues to evolve, Waymo’s accomplishments in 2024 demonstrate its leadership in the industry. However, the path forward will require navigating regulatory complexities, reducing costs, and addressing safety concerns. If Waymo can successfully tackle these challenges, it is well-positioned to shape the future of urban mobility and maintain its edge in the rapidly advancing robotaxi sector.