Uber just added Avride to its autonomous vehicle lineup. The two companies signed a multi-year deal, allowing Uber customers to catch rides and get takeout deliveries via Avride’s autonomous robots.

• Already Uber customers in Austin can now order Uber Eats and have it delivered from Avride’s six-wheeled sidewalk robots.
• The company intends on expanding next to Dallas and Jersey City, New Jersey. 
• Sometime next year the company expects to deploy robotaxis.

“We plan to expand the total fleet of Avride robots operating within Uber Eats to hundreds in 2025,” Avride’s CEO Dmitry Polishchuk said in a statement.

Avride already operates delivery robots in South Korea. The partnership is part of a larger push for rideshare companies’ ongoing shift into the autonomous delivery business. Uber Eats has teamed up with several robotics companies to offer worker-free deliveries. 

Last year, Uber and Serve Robotics announced plans to roll out around 2,000 delivery robots. Meanwhile, Uber is also expanding its partnership with sidewalk robot delivery company, Coco, in Los Angeles, with plans to enter additional markets.

Dara Khosrowshahi, CEO of Uber said: “Autonomous mobility and delivery hold a ton of promise for consumers and communities.”

Rideshare’s Rush into Automation 

The economic impact of robot delivery versus human delivery remains uncertain, but Uber Eats faces pressure to cut labor costs. While Uber doesn’t break down costs of delivery workers—whom it classifies as independent contractors—these costs likely make up a significant portion.

Regulatory changes could further influence Uber’s labor expenses. In June, a federal court upheld California’s AB 5 law, which classifies many gig workers as employees. However, a month later, the California Supreme Court upheld Prop 22, allowing companies like Uber to continue to classify drivers as independent contractors. 

• In recent weeks, Uber has secured partnerships with Chinese AV startup WeRide for robotaxis in Abu Dhabi, the U.K.’s Wayve, and GM’s Cruise.
•  It has also expanded its partnership with Waymo to bring robotaxis to Austin and Atlanta in early 2025. 

These deals build on existing collaborations with autonomous delivery companies like Serve Robotics, Cartken, and Nuro. Uber CEO Dara Khosrowshahi emphasized during the Q2 earnings call that the company’s expertise in utilization, consumer experience, and market strategy makes it a valuable partner for AV companies.