Pony.ai To Deploy Robotaxis In Dubai, Trials Begin Late 2025

Pony AI PONY and Dubai’s Roads and Transport Authority (RTA) announced on Monday that they recently held a robotaxi unveiling ceremony in Dubai, formalizing their partnership to advance L4 autonomous mobility solutions.

Under the agreement, the collaboration will deploy Pony AI’s autonomous driving technology through a multi-phase rollout.

Initial supervised robotaxi trials will begin in late 2025, paving the way for the launch of fully driverless service later in the decade.

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The strengthened alliance focuses on enhancing urban mobility efficiency, reducing traffic congestion, and establishing sustainable transportation models aligned with Dubai’s vision to transform the city’s urban travel landscape through autonomous mobility.

Pony AI has been actively expanding its global footprint, having already secured robotaxi operational permits in key markets including the U.S., China, South Korea, and Luxembourg.

Pony AI’s Recent Challenges And Strategic Moves

Pony.ai’s stock has seen a decline of over 15% year-to-date. The company has navigated challenges related to autonomous vehicle development, regulatory complexities, and geopolitical tensions between the U.S. and China, which have influenced investor sentiment regarding Chinese firms listed on U.S. exchanges.

Pony.ai has confidentially filed for a Hong Kong IPO in a strategic move. This filing is intended to secure additional funding for expanding its autonomous mobility business, while seeking to minimize disruptions to its U.S.-listed stock. Pony.ai initially went public on Nasdaq on November 27, 2024, raising approximately $413 million in its U.S. IPO.

This potential Hong Kong listing aligns with the company’s increased focus on commercialization. Pony.ai aims to launch robotaxi services by mid-2025 and projects deploying 700 vehicles by year-end.

The company also reports a 70% reduction in development costs, suggesting improved efficiency in its latest autonomous systems. Executives anticipate reaching single-unit breakeven by the end of 2025, supported by these cost-cutting measures and scaling efforts.

Just days before the IPO filing, on May 13, 2025, one of Pony.ai’s fully autonomous vehicles caught fire in Beijing. No injuries were reported in the incident.

Further expanding its international reach, Pony.ai strategically partnered with Uber Technologies UBER to launch robotaxi operations in the Middle East.

Earlier, CTO Lou Tiancheng indicated to The Wall Street Journal that Pony.ai was approaching breakeven as it streamlined its operations.

Industry Outlook

The broader autonomous vehicle industry continues to evolve rapidly. Bank of America analyst Martyn Briggs recently noted that autonomous vehicles have hit their ‘ChatGPT moment,’ suggesting a pivotal point of accelerated development and adoption for the technology.

Price Action: PONY stock is trading higher by 0.70% to $12.95 premarket at last check Monday.

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