Waymo gets major new backer in battle with Tesla for self-driving car dominance — here's what's happening

Tesla may have finally debuted its robotaxis, but Waymo has separated itself from the pack as the leader in the autonomous vehicle industry.

What's happening?

The Google-backed company just added Wells Fargo as a benefactor, TipRanks reported. The banking giant expects Waymo to capture 3.5% market share by 2027 and 10% by 2030.

Other projections the site noted were 57% of rideshare demand by the end of the decade and 22% penetration in markets it has already announced.

Waymo is set to deliver 18 million rides this year, with 9% of rideshare demand. The former figure could skyrocket to 465 million by 2030, TipRanks said. The auto tech business operates in five cities — Los Angeles, Phoenix, San Francisco, Atlanta, and Austin, Texas — and has many more on its expansion list for 2026 and 2027. Miami and Washington, D.C., are next.

Why is this important?

These fully electric vehicles are helping reduce pollution as Earth warms dangerously. Rapidly rising temperatures are caused by the burning of dirty energy sources, which produces heat-trapping gases, the majority of which come from the transportation sector. These toxic fumes harm the health of humans, wildlife, and the environment and are making extreme weather events more frequent and severe, among myriad negative effects.

EVs also help drivers save money on gas and regular maintenance, such as oil changes. If you make the switch, you can expect to save $1,500 annually. And with consumer prices coming down, once-out-of-reach electric vehicles are now as affordable as gas-powered automobiles, especially considering federal, state, and other incentives available via the Inflation Reduction Act, as well as dealers.

Tesla has long been the leader in the EV industry, but it has faded this year amid CEO Elon Musk's political involvement. His role in U.S. government spending cuts has created questions about his place atop the company, and delays in the robotaxi rollout have not helped. Tesla sales are also down, and problems continue to dog the Cybertruck.

This has opened the door in the market for traditional manufacturers to expand their EV offerings and for other EV makers — including Lucid and Rivian in the United States and BYD in China — to fill the void.

What's next for driverless ride services?

Autonomous vehicles may be proliferating in major urban centers around the country, but it's a slow upswing. There are concerns about safety, the impact of artificial intelligence systems on humanity, and accessibility. New York, for example, does not allow driverless vehicles.

Waymo has approached these problems with deliberation, while Tesla has beenless amenable. Perhaps that's part of the reason Wells Fargo invested in the former.

Would you ride in a self-driving Tesla Robotaxi? Heck yes 👍 Probably 😏 Not anytime soon 🤔 No way 🙅 Click your choice to see results and speak your mind.

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