After years of promises and delays, Waymo crossed 4 million paid rides in Q3 alone—a milestone that signals autonomous vehicles have reached genuine commercial scale. This isn’t a research project anymore; it’s a growing transportation service.
The growth trajectory tells the story. Q1 saw modest numbers. Q2 doubled. Q3 doubled again. The learning curve is working: more rides generate more data, enabling better performance, attracting more riders.
Ride volume alone doesn’t prove commercial viability—unit economics do. Here Waymo faces a paradox: their vehicles cost far more than human-driven cars, but they never need breaks, never get distracted, and can operate 24/7. The math depends on utilization rates.
At high utilization, autonomous vehicles crush traditional ride-hailing economics. At low utilization, the capital costs are crushing. Waymo’s geographic expansion strategy—city by city, achieving density before moving on—reflects this utilization imperative.
Competitive Implications
For ride-hailing incumbents like Uber and Lyft, Waymo’s milestone raises existential questions. Their platform models depend on drivers who increasingly look like transition technology. The strategic response—partnerships, acquisitions, or internal development—will define the next decade of mobility.
Gennaro is the creator of FourWeekMBA, which reached about four million business people, comprising C-level executives, investors, analysts, product managers, and aspiring digital entrepreneurs in 2022 alone | He is also Director of Sales for a high-tech scaleup in the AI Industry | In 2012, Gennaro earned an International MBA with emphasis on Corporate Finance and Business Strategy.
