Uber CEO Warns The 'Biggest Factor' In AV Growth Is Affordability, As Significant Scaling Could Take 10-20 Years

Uber Technologies Inc. (NYSE:UBER) CEO Dara Khosrowshahi highlighted the key factors influencing the growth of autonomous vehicles. High Costs Slow AV Adoption Speaking at the World Economic Forum, Davos, on Tuesday, Khosrowshahi emphasized the critical role of affordability in the expansion of autonomous vehicles. He noted that the current cost of these vehicles is “well over” $100,000. The CEO added that many autonomous vehicles on the road today lack the computing capacity required to meet safety standards, and he expects their deployment to remain relatively limited over the next three to five years. Khosrowshahi estimated that it will take 10 to 20 years for autonomous vehicles to become a “significant part” of the ride-hailing business, particularly outside high-fare markets such as the United States and Europe. He also voiced strong confidence in the safety of autonomous drivers, predicting that within a decade, human drivers could be viewed as riskier than robotic ones. The CEO further warned of economic disruption, saying robot drivers are likely to cause a “gradual job displacement” in driving and information technology as automation expands. Uber Bets Big On Self-Driving Tech Uber has been actively involved in the development and implementation of autonomous vehicles. In December 2025, the company announced the launch of its robotaxi service in Dallas, a move seen as a significant step towards integrating autonomous vehicles into its ride-hailing business. The company has also been working on improving the technology behind its autonomous vehicles. In January 2026, the company renewed its partnership with TomTom to enhance its routing and location services. This partnership aimed to improve the accuracy and efficiency of Uber’s autonomous vehicles, addressing some of the concerns raised by Khosrowshahi. Despite the challenges, the future of autonomous vehicles looks promising. Following the announcement of Nvidia’s Alpamayo AI platform in January 2026, Uber’s stock responded positively. This development was seen as a significant step in addressing the concerns around the obsolescence of Uber’s autonomous vehicle technology. Benzinga's Edge Rankings place Uber in the 93rd percentile for growth and the 40th percentile for momentum, reflecting its mixed performance. Benzinga’s screener allows you to compare Uber’s performance with its peers. Price Action: Over the past year, Uber stock climbed 25.26%, as per data from Benzinga Pro. On Monday, the stock edged 0.56% higher to close at $84.85. Image via Shutterstock Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.