Uber has joined forces with Pony AI, a leading Chinese autonomous vehicle (AV) firm, to launch robotaxi services in a key Middle Eastern market later this year. This strategic move aims to bolster Uber’s global presence in the self-driving car race.
During the pilot phase, Pony AI’s autonomous vehicles will operate with a safety driver onboard. Eventually, the service will transition to a fully driverless commercial model.
This collaboration aligns with Uber’s ongoing efforts to scale autonomous mobility worldwide and stay competitive against rivals like Lyft and Tesla. Over the past few weeks, Uber has announced several major AV partnerships. It recently signed deals with US-based May Mobility and China’s Momenta and extended its collaboration with WeRide to roll out services in 15 cities across the Middle East and Europe.
Last year, Uber also strengthened its partnership with Alphabet’s Waymo, reflecting its commitment to integrating AV technology into its services.
Pony AI, founded in 2016 and backed by Toyota, holds robotaxi licenses in several Chinese cities, including Beijing, Shanghai, Guangzhou, and Shenzhen. The company has been actively expanding internationally, targeting regions like Hong Kong, South Korea, Luxembourg, and now the Middle East.
After going public on Nasdaq in November, Pony AI saw its shares surge nearly 13% in premarket trading following the Uber deal, while Uber’s stock dipped by about 1%.
Despite challenges in engineering and regulation, the global push for commercial AV deployment continues to gain momentum. In the US, federal policies are evolving to support the industry by offering safety exemptions while requiring comprehensive incident reporting.
Uber’s partnership with Pony AI adds to its network of over 15 AV collaborations. The ride-hailing giant plans to offer customers the option to book autonomous rides directly through the Uber app, bringing self-driving technology closer to mainstream adoption.
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