Uber and autonomous vehicle developer Motional on Friday launched a commercial robotaxi service in Las Vegas, marking another step in the ride-hailing giant’s strategy to integrate self-driving vehicles into its platform as the global race to commercialize autonomous mobility intensifies.

The service, backed by Hyundai Motor, allows riders in Las Vegas to hail a driverless electric vehicle through the Uber app at no additional cost, part of the company’s effort to normalize autonomous rides for everyday users.

The rollout adds to a growing list of partnerships Uber has formed with autonomous vehicle developers as it positions itself as a central marketplace for robotaxi fleets rather than building the technology itself.

The service will initially operate along key locations on Las Vegas Boulevard, covering major pickup zones including:

• Resorts World Las Vegas
• Encore at Wynn Las Vegas
• Westgate Las Vegas Resort & Casino
• Downtown Las Vegas
• Town Square Las Vegas near the airport

Users requesting standard ride options such as UberX, Uber Electric, Uber Comfort, or Uber Comfort Electric may be matched with a robotaxi. If riders prefer a traditional trip, they can opt to switch to a conventional ride with a human driver.

The vehicles deployed for the service are based on the electric Hyundai IONIQ 5, which Motional has adapted with advanced autonomous driving systems.

A Step Toward Fully Driverless Rides

The robotaxis are designed to operate at SAE Level 4 autonomy, meaning the vehicle can drive itself in defined areas and conditions without human intervention. However, the initial rollout will still include a human safety operator behind the wheel, a common industry practice as companies gradually transition toward fully autonomous operations.

Uber said the service is expected to evolve into a fully driverless fleet by late 2026.

The autonomous version of the IONIQ 5 is among the first vehicles certified under the U.S. government’s Federal Motor Vehicle Safety Standards, an important regulatory milestone for large-scale robotaxi deployment.

Uber has been teaming up with partners to build an ecosystem of autonomous vehicles. Thus, the Motional partnership is seen as a reflection of Uber’s broader strategy of collaborating with multiple autonomous vehicle developers rather than developing its own self-driving system internally.

Over the past several years, the company has signed agreements with major players across the emerging robotaxi sector, including:

• Baidu
• Zoox, the autonomous driving unit of Amazon
• Nissan Motor
• Wayve, a British autonomous driving startup

Earlier this week, Uber signed a multi-year agreement with Zoox to deploy its robotaxis on the ride-hailing platform. Limited services are already operating in Las Vegas, while a pilot rider program is underway in San Francisco.

On Thursday, Uber also announced a collaboration with Nissan and Wayve aimed at launching a robotaxi pilot in Tokyo by late 2026, marking the company’s first autonomous vehicle partnership in Japan.

To support the expansion of autonomous fleets, Uber has also committed to investing more than $100 million to build dedicated infrastructure, including charging hubs for electric robotaxis. Such facilities will allow autonomous vehicles to recharge, undergo maintenance, and operate continuously without human drivers, a key requirement for scaling robotaxi networks profitably.

Industry analysts say the infrastructure push highlights Uber’s ambition to position itself as the operating system for autonomous mobility, connecting multiple robotaxi fleets to millions of riders through a single platform.

The launch comes amid an increasingly competitive race among technology companies and automakers to deploy fully autonomous taxi services.

Robotaxis are widely viewed as one of the most transformative applications of artificial intelligence and advanced sensors in transportation. By eliminating the cost of human drivers — typically the largest expense in ride-hailing — companies hope to dramatically lower ride prices while improving profit margins.

Yet the industry still faces major hurdles, including regulatory approval, public safety concerns, and the high cost of developing and maintaining autonomous technology. For Uber, expanding partnerships with developers like Motional allows the company to remain at the center of the emerging robotaxi economy without bearing the full cost of building the technology itself.

The Las Vegas rollout offers a glimpse of that strategy in action — and of a future in which hailing a driverless ride could become as routine as ordering a car through an app.

Executives from leading derivatives and stock exchanges, including CME Group and TMX Group (parent of the Toronto Stock Exchange), voiced strong opposition on Wednesday to any U.S. government intervention in the oil futures market, warning that such measures could distort price discovery, create unintended consequences, and expose taxpayers to significant risk.

The comments come as the U.S. Treasury reportedly considers options to address soaring oil prices triggered by the ongoing U.S.-Israeli conflict with Iran, now in its second week. On Wednesday, the U.S. government announced the release of 172 million barrels from the Strategic Petroleum Reserve (SPR) — the largest single drawdown since 2022 — aimed at cooling prices that have risen more than 25% since the war began. Brent crude futures jumped nearly 5% on the day, trading above $100 per barrel after earlier surges past $104.

CME Group CEO Terry Duffy, speaking on a panel earlier this week, stated bluntly: “Markets do not like it when governments intervene on oil prices.”

The CME operates the world’s largest energy futures market, including the benchmark WTI crude contract. Duffy argued that government action risks undermining market signals and could lead to greater volatility rather than stability.

An anonymous CEO of another major exchange echoed the concern, telling reporters that Treasury intervention “risked aggravating the problem” by potentially exposing the government to “hefty losses” if energy prices continue rising — a scenario that has played out in past attempts to cap or manipulate commodity prices.

TMX Group CEO John McKenzie was equally direct in his assessment. He said, “I usually find those things lead to unintended consequences. You create a different problem by trying to solve the first problem. The market will sort this out itself.”

The International Energy Agency (IEA) has proposed releasing 400 million barrels from member-country reserves — potentially the largest coordinated drawdown in its history — to counter the supply shock. G7 energy ministers expressed support for using stockpiles, but no formal agreement has been reached.

Analysts, however, have described the proposed volumes as inadequate given the scale of disruption: Saudi Arabia’s Ras Tanura refinery remains offline after a drone strike, Iraqi Kurdistan production is suspended, Israeli gas fields are idled, and the Strait of Hormuz is effectively closed following Iranian threats to attack vessels.

Broader Implications for Oil Market Intervention

Oil’s rapid ascent has intensified inflationary fears, complicating central bank policy paths. Goldman Sachs revised its Fed rate-cut forecast Wednesday, now expecting quarter-point reductions in September and December rather than June, citing energy-driven inflation risks. Traders price only a ~41% probability of a September cut, per CME FedWatch.

Global equities remain under pressure. The StoXX 600 fell 0.6% on early trading after earlier steep declines, while Asian markets were mixed and U.S. futures traded flat. Safe-haven flows have favored the U.S. dollar, which strengthened against major peers despite geopolitical uncertainty.

The exchange leaders’ opposition reflects a long-standing industry view that government attempts to directly influence futures prices — through position limits, margin requirements, or direct trading — often backfire. Historical examples include the 2008 oil-price spike (followed by a crash) and past SPR releases that provided only temporary relief.

A Treasury intervention in futures could involve increased oversight of speculative positions, emergency margin hikes, or even direct market participation — steps that would mark a significant departure from the U.S.’s traditionally hands-off approach to commodity derivatives. Such action would require coordination with the Commodity Futures Trading Commission (CFTC) and could face legal and political challenges.

The market’s focus currently remains on physical supply risks rather than regulatory intervention. With the Strait of Hormuz closed and key facilities offline, analysts warn that sustained disruption could push prices toward $120+ per barrel, triggering broader inflationary pass-through and potential demand destruction.

The coming days — including U.S. inflation data, continued military developments, and any IEA/G7 reserve-release coordination — will be critical in shaping the oil market’s near-term trajectory. However, exchange executives’ public stance signals strong resistance to government interference. It reinforces the view that price signals, not policy edicts, should drive energy markets amid one of the most severe geopolitical supply shocks in recent years.

European equities slipped on Friday as investors weighed the widening economic consequences of the escalating conflict involving Iran, a confrontation that has rattled energy markets, pushed crude prices above $100 per barrel, and forced traders to rethink the global interest-rate outlook.

The region-wide STOXX Europe 600 Index fell 0.6% in early trading, extending a sharp selloff that has seen the benchmark lose about 6.1% so far in March — its steepest two-week decline in roughly a year.

The downturn underscores how rapidly financial markets have shifted from optimism about falling inflation and imminent interest-rate cuts to renewed anxiety about energy shocks and prolonged geopolitical instability.

Futures tied to the S&P 500 also traded cautiously, slipping 0.1% after the index fell 1.5% in the previous session, reflecting broader global unease.

At the center of the turmoil is the surge in crude prices triggered by disruptions to Middle Eastern energy infrastructure and fears that key shipping routes could remain closed for an extended period. Brent crude futures rose to about $100.30 a barrel, while West Texas Intermediate crude traded near $95.98. Both benchmarks began the year around $60, meaning prices have climbed roughly 40% since the war erupted in late February.

The surge represents one of the fastest oil price rallies in recent years and is already raising concerns that the global economy could face a renewed inflation shock just as central banks believed price pressures were easing. Much of the anxiety stems from the threat to the Strait of Hormuz, the narrow maritime corridor through which roughly a fifth of the world’s oil shipments pass.

Iran’s new supreme leader, Mojtaba Khamenei, has vowed to keep the waterway closed, raising the prospect that tankers transporting crude from the Persian Gulf could remain blocked for weeks or even months. The closure has been a huge cause of concern due to the significance of Hormuz. Sustained disruption to shipments through the strait removes millions of barrels of oil from the global market, tightening supply at a time when demand from major economies remains resilient.

Temporary Relief From Russian Oil License

Oil prices eased slightly on Friday after the United States issued a 30-day license allowing countries to purchase sanctioned Russian oil and petroleum products that had been stranded at sea. The move effectively releases additional barrels into the global market, providing short-term relief to refiners scrambling to secure supply.

But analysts say the measure offers only temporary breathing room and does little to address the deeper issue — the growing risk that Middle Eastern oil flows could remain disrupted for an extended period.

Against that backdrop, currency markets are swinging toward the dollar as investors flee to safety.

The dollar has gained about 2.5% since the conflict began and is on track for its second straight weekly rise. The stronger currency has weighed heavily on most of its peers. The euro slipped 0.5% to around $1.1457, while the Japanese yen weakened sharply to about 159.4 per dollar after briefly touching its lowest level since July 2024.

Authorities in Japan warned they were prepared to intervene in currency markets if volatility intensified, although analysts say sustained dollar strength could limit the effectiveness of any unilateral action.

Inflation fears have also upended central bank expectations, marking a significant shift in interest-rate decisions. Until recently, investors had been betting that central banks would begin cutting rates this year as inflation cooled across advanced economies.

But the surge in energy prices has complicated that outlook. Markets now expect only around 20 basis points of rate cuts from the Federal Reserve this year — less than half the roughly 50 basis points of easing priced in just a month ago. Two-year U.S. Treasury yields, which closely track expectations for monetary policy, climbed to a six-month high on Thursday and have risen about 35 basis points since the war began.

Wolf von Rotberg, equity strategist at Bank J. Safra Sarasin in Zurich, said investors are increasingly focused on how long the conflict might last.

“If we don’t make any progress and just have a status quo for a prolonged period, that would obviously mean that oil prices stay higher for longer, and we have a more pronounced impact on the economy and on inflation,” he said.

Energy Costs Threaten Corporate Profits

Higher oil prices are also raising concerns about corporate profitability and economic growth. Energy costs ripple through nearly every sector of the economy, from manufacturing and transport to agriculture and consumer goods.

If crude remains near $100 or climbs higher, businesses could face sharply rising operating expenses just as demand shows signs of slowing in parts of the global economy. That combination — higher costs and weaker demand — can squeeze profit margins and potentially trigger a broader slowdown.

Jose Torres, senior economist at Interactive Brokers, said the surge in oil prices is reverberating across multiple asset classes.

“Indeed, sinking optimism about Fed rate reductions amid strengthening cost pressures is weighing on traditional safe havens such as silver, gold and government debt,” he said.

Gold rose slightly to around $5,088 an ounce on Friday but remained on track for a weekly decline, reflecting the drag from rising bond yields.

Attention is now shifting to a series of central bank meetings scheduled for next week. Policy decisions are expected from the Federal Reserve, European Central Bank, Bank of England, and Bank of Japan.

Most economists expect policymakers to keep interest rates unchanged while they assess the impact of the energy shock on inflation and growth. The Reserve Bank of Australia, however, is widely expected to raise rates, highlighting how persistent inflation pressures remain in parts of the global economy.

For investors, the key risk is that the conflict could drag on and keep oil prices elevated for months. Such a scenario would complicate efforts by central banks to bring inflation down while avoiding a slowdown in economic activity.

Vasu Menon, managing director of investment strategy at OCBC Bank, warned that markets may face continued turbulence.

“With the possibility of higher oil prices still elevated, investors should be prepared for continued volatility and potentially further downside in the near term,” he said.