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The impact of self-driving cars on the rideshare industry

Waymo
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TUCSON, Ariz. (KGUN) — While driverless rideshare options aren’t available in Tucson yet, the option to take a ride without a driver is available in a handful of cities across the country.

Nicole Ochotorena has made a career out of driving people across the Tucson area. To her passengers, specifically University of Arizona students, she’s known as ‘Mama Bear’ - a nickname given to her years ago after making sure a student made it home safely.

“I love this job and this isn’t a job to me,” she said. “This is taking from point a to point b, my family, no matter who gets in my car.”

But now, a driver isn’t needed when you have an app like Waymo. Companies like Waymo and Zoox are continuing to expand.

For several years now, people have been able to order driverless rides on Waymo in the Phoenix metro area. Its fleet in the valley has now grown to 500 vehicles and operates across 315 miles of the valley.

Waymo currently provides rides in Los Angeles, Phoenix, Austin, Atlanta, the San Francisco Bay Area and Miami. About a dozen other cities are listed as ‘up next’.

Zoox, described as a robo taxi, is now serving passengers in Las Vegas, and like Waymo, the company has expansion plans.

So, as autonomous rideshare options become increasingly more popular, what does this mean for people like ‘Mama Bear’, who have made this into their career?

According to data from Gridwise Analytics, drivers in areas where there are autonomous ride options are now earning less. From July 2024 to July 2025, drivers in Phoenix saw a 3.8% hourly pay decrease. In comparison, drivers nationwide, not just in markets with driverless rideshare options, saw a 1% increase in hourly pay.

As for passengers’ wallets, no driver means not having to tip.

But ‘Mama Bear’ feels like the human touch adds value to rides. She keeps her car stocked with anything passengers may need.

“So we have a cooler, and then we have a first aid kit that has everything, there’s extra clothes in case somebody needs more clothes, there’s blankets, there’s everything,” she explained.

She says others may be worried about their job, but she says she offers more than just a ride, and something artificial intelligence can’t offer.

“They’re getting counseling, they’re getting a nurse, they’re getting a doctor, they’re getting it all. It’s a whole shabam all in one,” she said.