Pony.ai Granted Shenzhen's First Citywide Permit for Fully Driverless Commercial Robotaxi Operations

Rhea-AI Summary

Pony.ai (NASDAQ: PONY) was granted Shenzhen's first citywide permit for fully driverless commercial robotaxi operations on October 31, 2025, jointly with Shenzhen Xihu Corporation Limited.

The authorization permits fully driverless service across Shenzhen, launching first in Nanshan, Qianhai, and Baoan and expanding gradually. Pony.ai and Xihu formed a strategic partnership in June 2025 and plan to deploy over 1,000 Gen-7 robotaxis in Shenzhen over the next few years. Pony.ai reports a current fleet of 720+ robotaxis, targeting 1,000 by year-end 2025, and cites 55 million km of autonomous testing globally. Pony.ai says it is the only company authorized for fully driverless commercial robotaxi services across all four Chinese Tier-1 cities: Beijing, Shanghai, Guangzhou, and Shenzhen.

Positive

• Granted Shenzhen's first citywide fully driverless permit (Oct 31, 2025)
• Planned deployment of 1,000+ Gen-7 robotaxis in Shenzhen over next few years
• Fleet scale: 720+ robotaxis currently, targeting 1,000 by year-end 2025
• 55 million km of autonomous testing accumulated worldwide
• Authorized for fully driverless services in all four Chinese Tier-1 cities

Negative

• Initial operations limited to Nanshan, Qianhai, and Baoan; citywide timing unspecified
• Commercial rollout depends on joint execution with Xihu Group

Insights

Autonomous mobility commercialization strategist

Pony.ai and Xihu secured Shenzhen's first citywide permit for fully driverless robotaxis, enabling large-scale commercial service and planned fleet expansion.

This permit authorizes Pony.ai and Shenzhen Xihu Corporation Limited to operate fully driverless robotaxis across Shenzhen, starting in Nanshan, Qianhai and Baoan and expanding citywide. The partnership combines Xihu's fleet management and safety operations with Pony.ai's AI and dispatch technology and targets deployment of over 1,000 Gen-7 robotaxis in Shenzhen over the next few years. The companies already report a fleet of over 720 robotaxis and claim >55 million kilometers of autonomous testing.

The immediate business mechanism is regulatory authorization plus a strategic operator partnership: permit gives legal commercial access; Xihu supplies operational scale and local know‑how; Pony.ai supplies vehicle AI and dispatch. This structure supports an "asset-light + AI-empowered" rollout where revenue and operations hinge on partnering rather than sole capital ownership.

Critical dependencies and risks are explicit in the announcement: continued regulatory compliance across Shenzhen districts, safe real‑world performance of Gen-7 robotaxis under full driverless conditions, and operational execution by Xihu at scale. The permit alone does not guarantee rapid utilization; service uptake, operational safety metrics, and district-by-district approvals will shape outcomes.

Concrete items to watch: deployment progress toward the stated >1,000 units and whether the fleet reaches 1,000 by the end of this year as claimed; expansion beyond the initial districts; and any reported safety or service metrics once commercial operations begin. Expect measurable updates on unit counts and service areas within the next months to years.

SHENZHEN, China, Oct. 31, 2025 /PRNewswire/ -- Pony.ai, a global leader in the large-scale commercialization of autonomous mobility, today announced that it has been granted Shenzhen's first citywide permit for fully driverless commercial robotaxi operations, paving the way for scalable driverless commercial operations across one of China's most innovative cities.

The permit was jointly granted to Pony.ai and Shenzhen Xihu Corporation Limited ("Xihu Group"), the city's largest taxi operator. This authorization allows the two companies to operate fully driverless robotaxis throughout Shenzhen, offering services to residents and visitors in one of China's leading technology and innovation hubs. Operations will begin in Nanshan, Qianhai and Baoan areas, before gradually expanding to other districts across the city.

Bordering Hong Kong, Shenzhen is one of China's largest and most dynamic metropolitan areas—spanning nearly 2,000 square kilometers, larger than London, and home to 17.8 million residents, surpassing the population of New York City. As "China's Silicon Valley," the city boasts a thriving technology ecosystem led by companies such as Tencent and BYD, as well as a highly active transportation network. The scale, density, and innovation of Shenzhen's mobility market make this citywide permit a significant milestone, underscoring the strong commercial potential of fully driverless operations in large urban environments.

Pony.ai and Xihu Group established their strategic partnership in June 2025 and plan to deploy over 1,000 units of Pony.ai's seventh-generation ("Gen-7") robotaxis in Shenzhen over the next few years. Following the acquisition of this new permit, the companies will soon begin deploying Gen-7 robotaxis into fully driverless commercial service.

"The launch of this project marks the official implementation of Pony.ai's 'asset-light + AI-empowered' commercialization model," said Dr. James Peng, Founder and CEO of Pony.ai. "By focusing on core technology innovation, Pony.ai empowers traditional transportation operators to achieve intelligent transformation, paving the way for a scalable and replicable commercialization model for autonomous driving."

The partnership between Pony.ai and Xihu Group will continue to deepen under an "asset-light + AI-empowered" model, which sets a strong foundation for the scalable commercialization of driverless mobility. Under this model, Xihu Group will contribute its extensive experience in fleet management, safety operations, and service assurance, while also sharing in the economic benefits of commercialization. Pony.ai, meanwhile, will focus on advancing AI-driven technologies and scalable robotaxi dispatch operations—creating a synergistic, win–win collaboration that accelerates the citywide deployment of autonomous mobility.

As a global pioneer in autonomous driving, Pony.ai has accumulated more than 55 million kilometers of autonomous testing worldwide. It is also the only company authorized to operate fully driverless commercial robotaxi services across all four of China's Tier-1 cities—Beijing, Shanghai, Guangzhou, and Shenzhen. The company currently has a fleet of over 720 robotaxis and is on track to expand that number to 1,000 by the end of this year.

View original content:https://www.prnewswire.com/news-releases/ponyai-granted-shenzhens-first-citywide-permit-for-fully-driverless-commercial-robotaxi-operations-302600723.html

SOURCE Pony.ai

FAQ

What did Pony.ai (PONY) announce on October 31, 2025 about Shenzhen operations?

Pony.ai announced it received Shenzhen's first citywide permit for fully driverless commercial robotaxi operations, jointly with Xihu.

How many Gen-7 robotaxis will Pony.ai deploy in Shenzhen under the PONY/Xihu plan?

Pony.ai and Xihu plan to deploy over 1,000 Gen-7 robotaxis in Shenzhen over the next few years.

When and where will Pony.ai begin fully driverless service in Shenzhen?

Operations will begin in Nanshan, Qianhai, and Baoan before gradually expanding to other districts.

What fleet scale did Pony.ai report and what is the year-end 2025 target for PONY?

Pony.ai reported a fleet of 720+ robotaxis and said it is on track to reach 1,000 by year-end 2025.

Does Pony.ai hold other fully driverless authorizations in China relevant to PONY investors?

Yes; Pony.ai states it is the only company authorized to operate fully driverless commercial robotaxis across Beijing, Shanghai, Guangzhou, and Shenzhen.