And the market for taxis is much smaller than the market for selling cars to urban people. Robotaxis aren't going to replace car ownership, but that's the delusion propping up Tesla's stock.
In every other American city besides NYC, most households have a vehicle. And besides virtually every American city save one being built for cars, you also have to keep in mind that the "most people live in urban areas" statistic counts all the people living in the suburbs around cities, e.g. people who have chosen a lifestyle literally built around car ownership.