New York hits the brakes on robotaxi expansion plan

Waymo’s effort to bring robotaxis to New York State has been paused — at least for now.

New York Governor Kathy Hochul has withdrawn a proposal that would have amended state vehicle and traffic laws to legalise robotaxis outside New York City effectively. Hochul spokesperson Sean Butler confirmed that the proposal was pulled.

“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 proposal had been removed.

The move represents another setback for Waymo, which — alongside other autonomous vehicle companies — has spent years pushing for the ability to test and eventually deploy robotaxi services in New York.

“We hear from thousands of New Yorkers who have experienced Waymo in other cities and want access to it at home,” Waymo said in a statement emailed to.

“They want the safety, privacy, and comfort that riders in other major cities already enjoy. While we are disappointed by the Governor’s decision, we’re committed to bringing our service to New York and will work with the State Legislature to advance this issue.”

“The path forward requires a collaborative approach that prioritises transparency and public safety. We will continue to engage constructively with the Governor, the Legislature, and officials around the state to deliver this proven mobility option that New Yorkers are waiting for,” the statement added.

Hochul had proposed the change as part of her broader budget plan. It would have modified a state law requiring drivers to keep one hand on the wheel at all times — a requirement that effectively blocks robotaxi services, since fully autonomous vehicles don’t have a human behind the wheel and, in some cases, may not even include a steering wheel.

Even if the proposal had moved forward, it would not have opened the door to a wide rollout of autonomous ride-hailing. The plan included several restrictions, including a ban on for-hire robotaxi services in any city with more than one million residents. AV companies would also have needed approval from the state transportation commissioner, had to pay a $1 million fee, and had to show proof of at least $5 million in financial security. The state would have supported pilot programs only in cities or townships with clear local support, Butler said.

With the proposal withdrawn, New York’s existing autonomous vehicle pilot program — which is significantly more restrictive — is expected to remain in place. Under that program, companies can apply for an exemption from the one-hand-on-the-wheel requirement, allowing them to develop and test autonomous vehicles in the state, but not operate commercial robotaxi services.

Waymo is currently conducting tests in New York City and is permitted to do so through March 31.

Last August, New York City regulators granted Waymo a permit to test robotaxis within the city. Under the permit, Waymo can operate up to eight Jaguar I-Pace vehicles in Manhattan and downtown Brooklyn, provided a human safety operator remains behind the wheel.

Waymo operates in multiple other states and currently runs commercial robotaxi services in Atlanta, Austin, Miami, Phoenix, Los Angeles, and the San Francisco Bay Area. The company says it now provides more than 400,000 paid rides each week and is aiming to reach 1 million weekly rides by the end of the year.