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New York Scuttles Plan to Expand Robotaxi Services Beyond NYC

February 22, 2026
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Governor Kathy Hochul has officially withdrawn a proposal that would have allowed commercial robotaxi operations to expand into smaller cities across New York State. The decision marks a significant legislative retreat following intense pushback from stakeholders and lawmakers who argued the state was not yet ready for a driverless rollout.

A Roadblock for Waymo

The withdrawal is a direct blow to Waymo, the autonomous vehicle subsidiary of Alphabet Inc.. While the company currently facilitates roughly 400,000 driverless trips per week across major hubs like San Francisco, Los Angeles, and Phoenix, its expansion into the Empire State remains stalled.

Currently, Waymo’s presence in New York is strictly limited. The company holds a permit to test vehicles in New York City, but only with a human safety specialist behind the wheel. That testing authority is set to expire on March 31, and the state still prohibits the company from charging for driverless rides.

Safety Concerns and Labor Opposition

The proposal faced a two-pronged attack from safety critics and professional driver organizations. The New York Taxi Workers Alliance, which represents 28,000 professional drivers, celebrated the Governor’s decision as a victory for human workers. The group has long fought for accountability and labor standards, viewing the “unpopular” robotaxi bill as a threat to driver livelihoods.

Public sentiment has also been cooled by recent safety incidents. Federal agencies recently launched an investigation after a Waymo vehicle struck a young girl in Santa Monica, California. Although the child suffered only minor injuries, the event highlighted the ongoing risks of deploying autonomous systems in unpredictable urban environments.

The Argument for Progress

Despite the setback, tech advocates argue that New York is missing out on safety benefits seen in other states. Chamber of Progress CEO Adam Kovacevich noted that autonomous vehicles have already begun reducing accident rates and improving pedestrian safety in regions like Arizona and Texas.

While Waymo expressed disappointment, the company remains committed to navigating the New York market. For now, the future of robotaxis in the state rests on potential future negotiations with the State Legislature or possible federal intervention to standardize deployment rules nationwide.

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