2025 and 2026 crucial for U.S. autonomous vehicles

Analysts from Bernstein believe that 2025 and 2026 will be critical years for autonomous vehicles (AVs) in the United States. They suggest that these years will mark the shift from testing autonomous vehicle technology to offering it as a commercial product. The success of AVs could impact rideshare companies like Uber and Lyft. If only a few strong AV providers emerge, it might hurt these companies. Currently, Uber and Lyft have many drivers, but a concentrated AV market could weaken their negotiating power and cut their profits. Waymo is currently the leading provider of robotaxi services in the U.S. However, Bernstein expects competition to grow. Companies such as Zoox and Tesla plan to start their services soon. Smaller companies like Avride and May Mobility are also preparing to enter the market. Bernstein notes that the collapse of Cruise shows how quickly the landscape can change for AV companies. They emphasize that new partnerships between rideshare firms and smaller AV providers could be crucial. For instance, Avride partnering with Uber and May Mobility with Lyft in 2025 could provide important proof of their capabilities to investors.