This article first appeared on GuruFocus.
Alphabet (NASDAQ:GOOGL) shares edged lower Thursday after its Waymo self-driving unit recalled nearly 3,900 robotaxis in the U.S. over a software issue that could allow vehicles to enter closed freeway construction zones.
Alphabet said the recall followed more than a dozen incidents since April in California and Arizona, where Waymo vehicles drove past ramp-closure signs and entered designated construction areas. The company said updated software has been deployed to improve how vehicles respond to freeway closures.
Alphabet noted that Waymo temporarily restricted some freeway operations while implementing the software changes. The recall marks the second such action in a little over a month, following a separate recall involving vehicles that could enter flooded roadways.
Alphabet also continues to face regulatory scrutiny tied to its autonomous driving operations. The National Highway Traffic Safety Administration is investigating an incident involving a Waymo vehicle and a child in Santa Monica, California, while other reviews have examined the company’s handling of school buses and roadway obstacles.
