Lyft Technologies (LYFT) stock rose 3.1% on Wednesday, as the ride-hailing company, along with May Mobility, launched a pilot robotaxi service in Atlanta. This marked the first public autonomous vehicle (AV) deployment for the partnership, which will challenge the robotaxi service offered by Alphabet’s (GOOGL) AV unit, Waymo, through Uber Technologies’ (UBER) platform.
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Lyft and May Mobility Enter the Atlanta Robotaxi Market
Riders in Atlanta can now use their Lyft app to match with one of the modified Toyota (TM) Sienna minivans operated by May Mobility. Currently, these minivans will operate primarily in the Midtown area. The robotaxi fleet of the partnership consists of hybrid-electric Toyota Sienna Autono-MaaS vehicles equipped with May Mobility’s patented Multi-Policy Decision Making (MPDM) technology. Lyft’s robotaxi service will include a driver who can take over in case of a problem.
Interestingly, while Lyft and May Mobility aim to expand their robotaxi service to additional cities, their partnership is not exclusive. Notably, Uber is set to deploy May Mobility vehicles in Arlington, Texas, by the end of 2025. Meanwhile, Lyft recently announced a deal with China’s Baidu (BIDU) to launch robotaxis in Europe next year.
Lyft has been late to the robotaxi market compared to larger rival Uber, which has been offering AV rides in partnership with Waymo in Phoenix since 2023. Furthermore, Uber and Waymo began offering robotaxi services in Austin, Texas, in March 2025 and in Atlanta in June. Meanwhile, Tesla (TSLA) commenced its robotaxi service in Austin in June.
Competition in the lucrative robotaxi market is heating up. On Wednesday, Amazon’s (AMZN) robotaxi subsidiary, Zoox, announced that it is now offering free rides on and around the Las Vegas Strip. Zoox intends to expand throughout the city and begin charging for rides after securing the required regulatory approvals.
Is LYFT a Good Stock to Buy Now?
Currently, Wall Street is sidelined on Lyft stock, based on 19 Holds, six Buys, and one Sell recommendation. The average LYFT stock price target of $16.46 indicates 13.2% downside risk from current levels. LYFT stock has risen 47% year-to-date.
