On Thursday, California regulators voted to approve round-the-clock robotaxi service in San Francisco from two rival companies: Waymo and Cruise. By Friday night, a group of Cruise vehicles had stopped short in the city’s North Beach neighborhood, flashing hazard lights and causing a traffic backup, according to reports.
The service expansion, approved in a 3 to 1 vote by California’s Public Utilities Commission, made San Francisco the first major U.S. city to allow two robotaxi companies to compete for service “at all hours of day or night.” It allows Waymo, owned by Google parent-company Alphabet, and Cruise, owned by General Motors, to expand their fleets as needed and charge for fares at any time of day.
But on Friday night at about 11 p.m., pedestrians reported spotting as many as 10 of Cruise’s driverless cars stopped on and around Vallejo Street in North Beach, trapping human-driven vehicles for at least 15 minutes, according to reports. The company cited cell phone service issues related to a nearby music festival, which it said hampered its ability to route the vehicles.
Cruise did not respond to a request for comment.
The weekend traffic jam followed strong opposition to the regulators’ decision from some groups, including San Francisco’s police and fire departments. In a hearing last week, officials from the city’s fire department, police department and municipal transportation agency prepared a report of at least 600 incidents with driverless vehicles since June 2022, including unpredictable operations near an emergency response zone, obstructing travel to an emergency, contact or near misses with personnel or equipment and more.
Before Thursday’s vote, both Waymo and Cruise were limited in their ability to operate in San Francisco. In Cruise’s case, if there wasn’t a safety driver present in the vehicle, it could offer fared service in certain areas from 10 p.m. to 6 a.m. If the rides were free, it could offer that service at any time. If the vehicle did have a safety driver, then the company could charge for fares around-the-clock.
In Waymo’s case, before regulators’ decision, the company could not charge fares for ride-hailing at any time if there wasn’t a safety driver. But if a safety driver was present in the car, then the company could charge passengers for rides at any time.
Waymo said it had more than 100,000 signups on a waitlist for service, and in a statement Friday, Tekedra Mawakana, co-CEO of the company, said that the service expansion “marks the true beginning of our commercial operations in San Francisco.”
Waymo declined to share the weekend’s ride-hailing numbers with CNBC, or comment on whether the Cruise traffic jam impacts its operations plans moving forward. But Chris Ludwick, the company’s product management director, told CNBC in a statement that the company is seeing “incredibly high demand” for its service.
“We’ve always taken an incremental approach to deploying our technology and will continue to expand our service and fleet in SF gradually, with safety and the needs of local communities in mind,” Ludwick added.
In a July 25 earnings call, Cruise CEO Kyle Vogt discussed plans to “blanket a city like San Francisco” with Cruise vehicles, saying the company would need to ramp up manufacturing if it did so, and expressed potential plans to introduce several thousand robotaxis in the area.
“There’s over 10,000 human ride-hail drivers in San Francisco, potentially much more than that, depending on how you count it,” Vogt said on the call. “Those drivers, of course, aren’t working 20 hours a day like a robotaxi could. So it does not make a very high number to generate significant revenue in a city like San Francisco. But certainly, there’s capacity to absorb several thousand per city at minimum.”
The position was valued at about $160 million as of Wednesday’s close.
Tripadvisor shares have been flat since the start of the year after plummeting more than 30% in 2024. Last year, the travel review and booking company said it created a special committee to explore potential options.
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People stand in front of an Apple store in Beijing, China, on April 9, 2025.
Tingshu Wang | Reuters
Apple iPhone sales in China rose in the second quarter of the year for the first time in two years, Counterpoint Research said, as the tech giant looks to turnaround its business in one of its most critical markets.
Sales of iPhones in China jumped 8% year-on-year in the three months to the end of June, according to Counterpoint Research. It’s the first time Apple has recorded growth in China since the second quarter of 2023.
Apple’s performance was boosted by promotions in May as Chinese e-commerce firms discounted Apple’s iPhone 16 models, its latest devices, Counterpoint said. The tech giant also increased trade-in prices for some iPhone.
“Apple’s adjustment of iPhone prices in May was well timed and well received, coming a week ahead of the 618 shopping festival,” Ethan Qi, associate director at Counterpoint said in a press release. The 618 shopping festival happens in China every June and e-commerce retailers offer heavy discounts.
Apple’s return to growth in China will be welcomed by investors who have seen the company’s stock fall around 15% this year as it faces a number of headwinds.
Since then, Huawei has aggressively launched devices in China and has even begun dipping its toe back into international markets. The Chinese tech giant has found success eating away at some of Apple’s market share in China.
Huawei’s sales rose 12% year-on-year in the second-quarter, according to Counterpoint. The firm was the biggest player in China by market share in the second quarter, followed by Vivo and then Apple in third place.
“Huawei is still riding high on core user loyalty as they replace their old phones for new Huawei releases,” Counterpoint Senior Analyst Ivan Lam said.
Chinese tech giant Baidu has bolstered its core search platform with artificial intelligence in the biggest overhaul of the product in 10 years.
Analysts told CNBC the move was a bid to keep ahead of fast-moving rivals like DeepSeek, rather than traditional search players.
“There has been some small pressure on the search business but the focus on AI and Ernie Bot is a key move ahead,” Dan Ives, global head of tech research at Wedbush Securities, told CNBC by email. Ernie Bot is Baidu’s AI chatbot.
“Baidu is not waiting around to watch the paint dry, full steam ahead on AI,” he added.
Baidu AI overhaul
Baidu is China’s biggest search engine, but — as is also being seen by Google — the search market is being disrupted.
Users are flocking instead to AI services such as ChatGPT or DeepSeek, which shocked the world this year with its advanced model it claimed was created at a fraction of the cost of rivals.
But Kai Wang, Asia equity market strategist at Morningstar, also noted that short video platforms such as Douyin and Kuaishou are also getting into AI search and piling pressure on Baidu.
To counter this, Baidu made some major changes to its core search product:
Users can now enter more than a thousand characters in the search box, versus 28 previously;
Questions can be asked in a more direct and conversational manner, mirroring how people now use chatbots;
Users can ask questions through voice but also prompt the seach engine with pictures and files;
Baidu has integrated its AI chatbot features, which enable users to generate photos, text and videos, into the product.
“This is more aligned with how people use ChatGPT and DeepSeek in terms of how they look for answers,” Wang said.
Outside of China, Google has also been looking to enhance its core search product with AI, highlighting how search has been under pressure from the burgeoning technology.
Baidu on the offense
Baidu was one of China’s first movers when it came to AI, releasing its first models and ChatGPT-style product Ernie Bot to the public in 2023. Since then, it has aggressively launched updated AI models.
However, the Beijing-headquartered company has also faced intense competition from fellow tech giants like Alibaba and Tencent, as well as upstarts such as DeepSeek.
These companies have also been launching new models and infusing AI into their products and Baidu’s stock has fallen behind as a result. Baidu shares have risen around 2.5% this year, versus a 30.5% surge for Alibaba and a 20% rise for Tencent.
“This is a defensive and offensive move … Baidu needs to be aggressive and perception-wise show they are not the little brother to Tencent on the AI front,” Wedbush Securities’ Ives added.
