Uber Technologies Inc (NYSE:UBER, XETRA:UT8) has increased its investment in Lucid Group Inc (NASDAQ:LCID) and expanded its vehicle purchase commitment, signaling a stronger push into autonomous ride-hailing, according to Bank of America.
The ride-hailing company will invest an additional $200 million in Lucid, bringing its total investment to $500 million, while raising its commitment to purchase more than 35,000 vehicles from the electric vehicle maker.
The expanded agreement builds on a partnership announced in July 2025 between Uber, Lucid and autonomous technology firm Nuro.
Bank of America said Uber’s increased commitment reflects growing confidence in Lucid’s AV technology. “Uber's additional commitment to Lucid signals growing confidence in Lucid's AV technology (Lucid test vehicles were delivered in February), with the companies planning to launch AV services in the Bay Area in 2H'26,” analysts wrote.
“While Waymo city launches and Tesla's AV progress has made a lot of headlines over the last 6 months, we are encouraged by Uber's progress with its US AV initiatives and expect upcoming 2H'26 launches in key AV markets such as Las Vegas (Zoox), LA (Volkswagen) and Bay Area (Lucid) to serve as potential catalysts for Uber's stock.”
While competitors such as Waymo and Tesla have dominated headlines in recent months, Bank of America said Uber’s expanding network of partnerships and improving visibility on AV deployment could strengthen its position in the evolving market.
“We continue to believe increasing visibility on AV production would incentivize other major OEMs to accelerate L4 development, a potential positive for Uber,” analysts wrote.
Uber shares were up around 6.6% on Wednesday while Lucid shares were down about 5.9%.