Robotaxi companies have thrived in California, where the good weather, enthusiasm for technology, and sophisticated labor force have supported their growth for nearly two decades. But a delayed decision from a state regulatory agency is now slowing Alphabet’s subsidiary Waymo, the US leader in driverless robotaxi service.

The holdup means that Waymo isn’t yet allowed to expand into parts of Northern and Southern California. And, in an upside for riders, Waymo still isn’t able to charge California passengers for rides in its new vehicle, a pale blue Chinese-made car it’s calling the Ojai, which started picking up riders last month.

If Waymo continues to operate these vehicles in its driverless ride-hail service, they could be gratis until the end of September and perhaps beyond. (The company continues to charge for rides in its Jaguar I-Pace robotaxis, which make up the majority of its fleet.)

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