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In my previous article, I discussed Uber and Waymo and how their collaboration seems to be unraveling. I forecasted that both companies would find themselves on conflicting sides when it comes to autonomous vehicle regulations. This wasn’t mere speculation.

Over the last few weeks, I’ve been conversing with sources and meticulously reviewing communications Uber sent to the D.C. Council, which is assessing a proposed legislation that would permit autonomous vehicles to operate within Washington, D.C.

My findings revealed: Uber and Waymo are already on divergent paths concerning the proposal, engaging in discussions both publicly and behind closed doors. Uber has presented a notably captivating argument to influence the framework governing autonomous vehicles.

Uber, which stands against the D.C. legislation, contends that it would replace human drivers for-hire and grant Waymo a de facto monopoly. Instead, it is advocating for a framework that mandates robotaxis to function on a ride-hailing network together with human drivers.

Insiders have indicated that the “hybrid” model has slim chances of becoming law. However, should it proceed, it would constrain AV innovators like Waymo to choose between two unfavorable options: either integrate their robotaxis within ride-hailing platforms like Uber or hire human drivers to accompany fleets of robotaxis that have taken years and massive investments to create.

A hearing at the D.C. Council on Monday saw representatives from Lyft, Tesla, Uber, and Waymo attending, alongside numerous disability rights and accessibility advocates, local business representatives, highway safety organizations, governmental officials, labor unions, and think tanks.

My insight — drawn from the public testimonies along with the calls and messages I received afterward — is that Waymo stands out as one of the few firms that generally supports the bill. Much of the rest of the industry is opposed.

Tesla’s senior policy advisor, India Herdman, echoed apprehensions I’ve heard from several AV developers, including objections to the 180-day, 250,000-mile mandatory testing criteria; the $1 million application charge; the $5 million permit fee; and the $0.15-per-mile tax. Tesla, among other firms, asserted that mileage accrued in other regions should contribute towards the mileage requirement.

Waymo, which has been trialing its AVs with human safety operators in Washington, D.C., has already exceeded the 180-day and 250,000-mile benchmarks. Therefore, if the bill were enacted as currently drafted, Waymo would have at least a six-month advantage entering the market.

Deals!

Uber is regarded as a giant in the realms of ride-hailing and delivery. It is currently solidifying that status through a $14.8 billion acquisition deal for Germany’s Delivery Hero. 

Should the acquisition finalize — and it will certainly require time to navigate through regulatory obstacles — Uber will have access to nearly 100 markets throughout Europe, the Middle East, Latin America, and Asia. The result: Uber’s delivery reach will be doubled.

Delivery Hero has also entered into a separate agreement to sell its business in 14 markets, where Uber Eats is already operational, to New York-based investment firm SSW Partners for $1.6 billion.

Other noteworthy deals include …

Self Inspection, a startup located in San Diego aiming to innovate the vehicle inspection process, secured $10 million in a funding round led by Sheryl Sandberg’s family office. Tire distributor U.S. AutoForce and automotive lender Westlake Financial made strategic investments. Early-stage funds Costanoa Ventures, Rebellion Ventures, and BrightCap Ventures also participated.

Senra, a startup that is modernizing the manufacturing of wire harnesses, raised $65 million in a Series B round co-led by Lowercarbon and Interlagos, with contributions from General Catalyst, Sequoia Capital, Andreessen Horowitz, and Founders Fund, among others.

Zepto, the Indian fast-delivery enterprise, is aiming for a valuation significantly below its previous $7 billion peak in its initial public offering, as reported by Bloomberg, referencing anonymous sources.

Notable reads and other tidbits

Chip Motors, a startup based in Miami, unveiled a low-speed compact EV tailored for short errands and families, incorporating some automated driving features.

The Los Angeles Police Department is reportedly terminating its partnership with Flock Safety, a surveillance firm that assists law enforcement in monitoring vehicles via thousands of license plate cameras distributed across the United States.

Lucid Motors is vigorously refuting a report that indicated the EV manufacturer was contemplating a Chapter 11 bankruptcy filing. The firm’s communications team, its CEO, and a filing with the U.S. Securities and Exchange Commission all assert that the rumors are unfounded. The original report caused the company’s stock to plummet over 50% on Tuesday, marking its largest intra-day decrease ever. The stock has since rebounded and is currently trading roughly 28% higher than it was before the significant drop. 

Lyft CEO David Risher claims it’s the “Good Uber,” according to Wired.

Manual, or traditional, transmission vehicles are fading away, as per preliminary government statistics indicating that only 0.6% of new vehicles manufactured for the U.S. in 2025 equipped with manual gear shifts, the Washington Post reported. I own two manual vehicles. Does that classify me as a driving unicorn?

The National Transportation Safety Board stated that the driver of a Tesla who crashed into a house in June had pushed the accelerator pedal to full throttle, bypassing the company’s Full Self-Driving (Supervised) software.

San Francisco mayor Daniel Lurie has encouraged state regulators to strengthen regulations on autonomous vehicles after Waymo robotaxis became immobilized in heavy July 4 traffic, ran out of battery, and obstructed key thoroughfares, exacerbating the congestion. In a letter (excerpts of which are included here) Lurie detailed four primary requirements he wishes to see implemented to guarantee robotaxi companies can “operate reliably” in extraordinary circumstances. 

SpaceX abruptly aborted its second attempt to launch the upgraded Starship rocket system on Thursday, just moments after the booster ignited at the company’s facility in South Texas.

Zoox issued a software recall following an incident in June where one of its robotaxis became perplexed by smoke emanating from an emergency fire scene.

One more thing …

Uber chief product officer Sachin Kansal discusses with TechCrunch EIC Connie Loizos about travel, AI agents, and straddling both sides of the robotaxi competition, in the latest Strictly VC podcast episode. If you prefer reading the dialogue, look at the Q&A.