No, it can't be great. I assume the new President of Alphabet is responsible for the layoffs because she is probably ordering Waymo to cut costs. Frankly, I am a bit surprised that Waymo still has two co-CEOs. That seems top heavy to me. I would think that with the focus on cost cutting, that they would go back to just one CEO position. Could we see Dolgov and/or Mawakana get fired, to be replaced with a single CEO that is more business oriented? Could Dolgov go back to being CTO since tech is his strength and Mawakana stay as CEO? Personally, I feel like Dolgov has done better than Mawakana because Waymo seems to have made more progress on his side of things (improving tech) than on her side of things (business scaling). But perhaps, Dolgov and Mawakana have enough clout, as top execs, that both their jobs are safe.
It will be interesting to see how things unfold. Waymo clearly has great AV tech. The big question is what will happen from a business point of view. Can Waymo leverage the tech into a profitable business? One option might be for Waymo to cut back on adding new cities, cut some jobs, and focus on consolidating their current ride-hailing in Phoenix, SF and LA into a profitable service. Personally, I would love to see Waymo look to licensing their tech. Waymo could sell their custom hardware to carmakers looking for high quality sensors. Ans surely, Waymo could leverage their software for quality driver assist or semi-autonomous driving features. For example, they could use a piece of the Waymo Driver to offer reliable lane keeping, collision avoidance, auto lane change, etc... I imagine carmakers looking for reliable driver assist could be interested in Waymo software. So I think that would be a great way to monetize their tech. I just think Waymo would be wise to look for side revenue to help pay for the scaling of robotaxis. That is why I think the Mobileye strategy is so smart because they are able to generate nice revenue with their ADAS tech to help pay for their development and deployment of AVs. I love Waymo tech but to be honest, if their strategy is "lose billions until we hopefully make a profit someday when we have scaled", that's not a business strategy that is going to fly at the Alphabet Board meeting. I think a few years back, when the tech was more primitive, Waymo could kind of get away with the argument of needing to spend/lose billions to develop the tech. But now that the tech works well in 3 cities, that argument does not work anymore. It's time to start showing a real business model.