Pony.ai (PONY) and Uber (UBER) Team Up For A Bigger Bet

On August 14, Pony.ai announced it would deploy more than 2,000 robotaxis across Europe as part of an expanded partnership with Uber, which began in May 2025. The rollout will extend from an existing service in Zagreb, Croatia to four additional cities, with plans to reach the Middle East. This expansion highlights Uber's belief in the future of autonomous rides.

Uber's driver network is its largest expense, processing $25 billion of gross bookings in the second quarter, going to its 10.2 million drivers. Every autonomous mile reduces this expense, increasing Uber's margins. Uber will supply the technology, while partners handle the hardware and software. As of now, autonomous vehicles run in seven cities, with a target of 15 by the end of 2026 and a $10 billion commitment to partners over the next few years.

Uber's user base has grown, with monthly active consumers up 16% year-over-year and trips up 18%. Delivery, now more than a third of total sales, grew 28% year-over-year, while transportation grew only 1%. Non-GAAP net income climbed 29% to $1.6 billion, with an 11.6% margin. The stock's price-to-sales ratio is 2.8, lower than its 4.1 average since going public in 2019.

However, specifics about the rollout and additional cities remain unnamed, and the deal's potential remains a plan rather than a proof point.