Autonomous driving technology company WeRide (NASDAQ:WRD) and ride-hailing giant Uber Technologies (NYSE:UBER) announced on Tuesday that they have launched Robotaxi services on Al Reem and Al Maryah Islands in Abu Dhabi in partnership with the Integrated Transport Centre.

The expanded rollout is expected to double ride volumes and now covers roughly half of Abu Dhabi’s urban core, including Al Reem, Al Maryah, Yas, Saadiyat, and major highway routes to and from Zayed International Airport.

Since launching in Abu Dhabi in December 2024, WeRide and Uber have tripled the size of their Robotaxi fleet. Both companies plan to scale operations further, targeting hundreds of vehicles and expanded coverage into Khalifa City, Masdar City, and more downtown districts later this year.

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WeRide and Uber operate the largest Robotaxi network in the Middle East. The fleet features WeRide’s GXR model, a mass-produced autonomous vehicle designed for commercial use that seats up to five passengers. Each vehicle is expected to complete dozens of trips daily during a 12-hour shift, with average ride distances exceeding six kilometers.

Al Reem and Al Maryah Islands, key finance, housing, and commerce districts, present challenging traffic and road conditions that underscore WeRide’s technical capabilities in scaling autonomous systems. These deployments align with Abu Dhabi’s vision to become a regional hub for smart mobility and innovation.

Meanwhile, WeRide has begun fully driverless testing in Abu Dhabi, with public access expected in the coming months.

In contrast to the operational strides made by WeRide and Uber, Tesla (NASDAQ:TSLA) continues to face investor skepticism regarding its autonomous driving ambitions.

Despite CEO Elon Musk’s ambitious pronouncements, the company’s financial results have been underwhelming, and its Robotaxi timelines have experienced notable delays.

Following a weak earnings report, Musk reiterated a focus on driverless electric vehicles and Robotaxis, yet Tesla’s stock experienced a 5.5% decline over five days.

Analyst sentiment remains cautious; while Canaccord Genuity lauded the long-term Robotaxi vision, it underscored the immediate imperative for near-term growth.

Goldman Sachs, meanwhile, characterized Tesla’s Robotaxi initiative as “still small” with limited technical transparency. This backdrop highlights Tesla’s continued struggle to gain a competitive edge in autonomous mobility against established players such as Alphabet’s (NASDAQ:GOOGL) Waymo and Baidu’s (NASDAQ:BIDU) offerings.

From a market performance perspective, WeRide’s stock is down 18% year-to-date. However, it has seen a significant recovery, gaining over 53% in the last three months. This volatility can be partially attributed to broader global economic uncertainties and the evolving landscape of U.S. trade and electric vehicle policies under the current administration.

Price Actions: WRD shares are trading higher by 1.71% to $10.43 premarket at last check Tuesday. UBER is down 0.55%.

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