I think is really interesting how it's often suggested Waymo is at a disadvantage over Tesla due to its reliance on LIDAR and the costs associated with it. But the reality is that it's enabled Waymo to move faster and gain significant more operational experience than Tesla, and that's far more important than front loading with cost reductions in a service business.

Tesla have been operating as a product business, and cost reduction of that product was key to scale and profitability. I completely understand why they have focused on optical sensors for autopilot, lidar was always going to be impossibly expensive for a consumer product.

Waymo on the other hand have always been aiming to build a service business and that changes the model significantly, they need to get to market and gain operational experience. Doing that with more expensive equipment to move faster is exactly what was needed. They can worry about cost of building their cars later, much later.