Uber Technologies UBER, along with Verne and China’s Pony AI PONY, entered into a strategic partnership to introduce Europe’s first commercial robotaxi service, with operations set to begin in Zagreb, Croatia’s capital. Initial deployment activities are already in progress, including validation on public roads.
Uber, Pony AI and Verne aim to jointly deploy a commercial robotaxi service by combining Pony AI’s autonomous driving technology, Uber’s global mobility platform and Verne’s operational ecosystem. Under this arrangement, Pony AI will supply its autonomous driving system, Verne will serve as fleet owner and operator, and Uber will integrate the service into the ride-hailing network alongside Verne’s customer-facing platform.
The collaboration aims to establish a scalable model for robotaxi services in Zagreb, with potential expansion to other European cities and international markets. Over the coming years, the partners intend to scale the service to a fleet of thousands of robotaxis. As part of the initiative, on-road testing has already commenced in Zagreb, using Pony AI’s Gen-7 autonomous driving system deployed on the Arcfox Alpha T5 Robotaxi. Preparations for fare-based services are underway, positioning Zagreb as a potential first market for commercial robotaxi services in Europe.
Verne will oversee market readiness and regulatory approvals in Europe, while coordinating the deployment of Pony AI’s robotaxis across both its and Uber platforms. This structure is designed to ensure consistent safety, performance and user experience, while enabling expansion into additional markets. Uber also intends to invest in Verne and support its growth as a strategic partner.
Dr. James Peng, founder and CEO of Pony AI, stated that partnering with Uber and Verne marked an important milestone in its global expansion of autonomous mobility. He noted that in China, the Gen-7 system had already achieved significant commercial scale, including reaching unit economics breakeven in Guangzhou and Shenzhen, which demonstrated the readiness of both the technology and business model. Marko Pejkovic, CEO of Verne, said that Europe required autonomous mobility solutions capable of transitioning from testing to real-world service. Dara Khosrowshahi, CEO of Uber, stated that combining Pony AI’s technology, Verne’s operational expertise, and its platform represented an important step toward making autonomous ride-hailing more widely accessible.
Uber’s AV ambitions are gaining real-world traction through scalable, cross-market deployments. While macro risks and regulatory scrutiny remain, Uber’s ability to scale both core businesses (mobility and delivery) and emerging automation initiatives positions it well for long-term growth. Uber is focused on unlocking growth in suburban and low-density markets.
The company teamed up with another Chinese company, WeRide WRD, late last year, to launch robotaxi passenger rides in Dubai on its app. The companies partnered with the country’s Roads and Transport Authority to launch the Dubai robotaxi service. Following the launch, WeRide robotaxis are accessible through the Uber app in areas like Umm Suqeim and Jumeirah, two of Dubai’s most popular tourist districts near public beaches. Uber and WeRide’s robotaxi launch in Dubai came soon after the launch in another UAE city, Abu Dhabi.
UBER’s Share Price Performance, Valuation and Estimates
Shares of UBER have declined in double digits so far this year. Courtesy of the downbeat performance, UBER’s shares have underperformed the Zacks Internet-Services industry over the same time frame.
YTD Price Comparison
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From a valuation standpoint, UBER trades at a 12-month forward price-to-sales of 2.35X. UBER is inexpensive compared with its industry.
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The Zacks Consensus Estimate for full-year 2026 and 2027 has been declining in the past 60 days.
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UBER's Zacks Rank
UBER currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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