Autonomous in Exceptional Cases – How Robotaxis Are Paving the Way, and Why Steer-by-Wire Is the Key Technology

For years, the dream of the self-driving car was a symbol of technological hope – individual mobility, no human driver required. At first, major automakers were expected to lead this change. But today, it’s the private passenger car segment that lags furthest behind. No surprise – open-road traffic, regulatory uncertainty, and cautious buyers slow progress. And with them, OEMs get bogged down in complex development, approval, and architectural cycles.

Yet amid this stagnation, two important developments are emerging:

• Robotaxis, which are creating a new mobility model.
• Steer-by-Wire, the foundational technology enabling this shift.

These two sectors are where autonomy is already being implemented – successfully and with long-term vision.

Looking back:

The bold promises of the 2010s – from Waymo, Tesla, and Uber ATG – led many to believe that self-driving cars would be commonplace by 2020. But it quickly became clear: Level-5 autonomy in mixed traffic is far more complex than anticipated.
According to a 2020 analysis by the World Economic Forum, even by 2035, only a small fraction of newly registered private vehicles will feature Level-4 or higher automation. (Source)

Current Status (2025):

However, two exceptions prove the rule:

• Cities in the U.S., China, and soon the UK are already operating robotaxi fleets – from Cruise, Waymo, AutoX, and Baidu. These services show that autonomous passenger transport in clearly defined urban areas (ODDs) is technically and commercially viable.
  Uber will begin testing its robotaxis in London starting Spring 2026. (Source)
• Luxury brands such as Lexus, Mercedes-Benz, and Lucid are now integrating steer-by-wire systems into production vehicles. These electronic steering systems eliminate the mechanical link between steering wheel and wheels. This not only reduces weight but allows for new cockpit designs – movable steering wheels, more cabin space, and direct integration into autonomous stacks.
  Steer-by-wire also allows for customizable steering feel – perfect for premium vehicles and hypercars. It’s no longer a comfort feature – it’s a key enabler of Level-4 autonomy and a unique selling point.

What’s Next (2026–2030):

Robotaxis will become a core part of urban mobility in many cities, supported by ride-hailing platforms and public transport networks. Modular systems will gain importance – scalable, flexible, and easy to integrate into various vehicle architectures.

At the same time, steer-by-wire will mature into a mainstream technology on premium and autonomous platforms. It will not just be a feature, but a strategic differentiator, enabling new vehicle architectures and automation levels.

The mass market will adopt more slowly. Widespread rollout is not expected before 2030 – and even by 2035, autonomy in private vehicles will likely remain a premium upgrade, not a default feature. (Source) 

What This Means for Arnold NextG

At Arnold NextG, we think in systems. Whether powering robotaxi fleets or premium SUVs with steer-by-wire: the NX NextMotion platform offers certified, fail-safe drive-by-wire technology for real-world autonomous use.

Safety-by-Wire stands for:

• Fully redundant control systems
• Adaptive actuators
• Integrated teleoperation
• Seamless integration with platform ecosystems

Robotaxis and high-end vehicles are preparing for autonomy now – and so are we.

Holiday Break & Outlook:

The Arnold NextG blog will pause starting December 23. Thank you to everyone who followed this blog series in 2025! Coming in January 2026: "Autonomous Mobility Ecosystem" – our new blog series with in-depth looks at technology, regulation, infrastructure, supplier strategy, and digital business models. See you soon – and happy holidays!