Waymo’s robotaxi service is becoming a more competitive alternative to traditional ride-hailing platforms like Uber and Lyft, according to a new study by Obi, a ride-hailing price aggregator. The report, based on data collected between Thanksgiving and New Year’s Day in 2025, reveals that Waymo has significantly narrowed the price gap and improved wait times in San Francisco, a key testing ground for autonomous vehicles. In a previous study from June 2025, Waymo’s fares were found to be 30% to 40% higher than Uber and Lyft. The latest findings show that Waymo is now only 12.7% more expensive than Uber and 27.3% more expensive than Lyft on average. This shift marks a major step toward price parity, making Waymo a more viable option for everyday commuters. Wait times have also improved. Waymo’s average estimated time of arrival (ETA) was 5.74 minutes, compared to 3.15 minutes for Uber and 5.14 minutes for Lyft. While Waymo’s wait times were slightly longer than Uber’s, they were competitive with Lyft’s and notably better than previous benchmarks. The only exception was during peak hours around 4 p.m. and 6 p.m., when Waymo’s ETAs increased significantly. Ashwini Anburajan, CEO of Obi, highlighted the importance of these improvements. “That’s the biggest change to me,” he said. “It’s the convergence in price as well as the reduced wait times because now you can actually compare them. It’s a more honest comparison between the three platforms.” Tesla’s Robotaxi, the newest entrant, is not yet competitive on wait times but dominates on pricing. The study found that Tesla’s average ride cost was just $8.17, compared to $15.47 for Lyft and $10.70 for Uber. This represents a $7.30 average price difference in Tesla’s favor. Tesla’s rides rarely exceed $10, making it the most affordable option in the Bay Area. Anburajan noted that Tesla is using a proven strategy: undercutting competitors on price to drive adoption. “They’re using the playbook that Uber and Lyft used when they first came into the market — dramatically lower pricing, undercutting what’s existing in the market, and really just driving adoption, driving downloads, driving people to use the app,” he said. “And we know that playbook works.” However, Tesla’s average ETA of 15.32 minutes is the longest among all platforms, indicating that the service is still in its early stages. Anburajan emphasized that wait times remain a critical factor in consumer choice. “I don’t think people realize how critical wait times are in selecting a robotaxi or a regular rideshare,” he said. “They’re a huge factor in how people decide.” The findings reflect broader shifts in the Bay Area market. Waymo’s recent fleet expansion from 800 to over 1,000 vehicles in November likely contributed to improved service reliability. Meanwhile, consumer attitudes toward autonomous vehicles are evolving. Nearly half of respondents — 48.3% — now expect to use self-driving cars as their primary rideshare, up from 24% in June. Anburajan believes the novelty of robotaxis is fading, which is a positive sign. “I think that the novelty of riding a robotaxi or an autonomous vehicle has started to wear off in the San Francisco market, and I think that’s a good thing,” he said. “More people trust the cars now.”