Waymo to commence testing in Tokyo, marking its first international location.

• Waymo, a subsidiary of Alphabet, plans to commence testing its robotaxis in Tokyo, Japan in early 2025.
• The move marks the company's first step toward international expansion.
• In Japan, Waymo has not yet decided to launch commercial operations but has formed development partnerships with taxi operator Nihon Kotsu and taxi-hailing app GO.

Waymo, owned by Alphabet, announced on Monday that it will begin testing its autonomous vehicles in Tokyo in early 2025, marking its first step toward international expansion.

Waymo has not yet decided to launch commercial service in Tokyo, but it will collaborate with Japan's largest taxi operator, Nihon Kotsu, and taxi app GO to test its Jaguar I-PACE vehicles on Tokyo's streets.

Waymo vehicles will be manually operated by Nihon Kotsu drivers to map key areas of Tokyo, including Minato, Shinjuku, Shibuya, Chiyoda, Chūō, Shinagawa, and Kōtō.

The company's AI systems will be trained using data from manned test drives. Additionally, Waymo will test its robotaxis on a closed course in the U.S. designed to simulate Japanese driving conditions.

Waymo informed CNBC that the initial phase of its partnerships will span multiple quarters and the company anticipates staying in Japan for an extended duration.

"Waymo announced that their upcoming road trip to Tokyo presents an opportunity to collaborate with local partners, government officials, and community groups to comprehend the new terrain. Through this partnership, Waymo aims to understand how they can contribute to Tokyo's transportation ecosystem and serve its residents."

Waymo's vehicles in Japan will be managed and serviced by Nihon Kotsu, as announced by the companies.

Waymo announced a series of expansions across the U.S. in 2024, including new testing in Miami in 2025, making its driverless ride hail service available across Los Angeles in November, and planned expansions into Austin and Atlanta in partnership with Uber.

The company's first entry into a left-hand traffic market is marked by its move into Japan.

The World Economic Forum's research shows that both the Japanese national government and Tokyo Metropolitan government view driverless technology as a potential benefit for the country's elderly population.

Self-driving cars are being tested in designated areas in Tokyo in an effort to speed up the development of safe driverless transportation systems.

In Japan, several developers are working on autonomous vehicles, including local startup Tier IV and ZMP, which is testing delivery vehicles and buses in Tokyo. Additionally, Monet Technologies, partially owned by , announced plans to test a self-driving taxi service in Tokyo's Odaiba district earlier this year.

Waymo's Japan expansion announcement was made a week after it announced the abandonment of its Cruise robotaxi division. Honda, an investor in Cruise, plans to launch a driverless ride-hail service in Japan in early 2026 but will reassess those plans and make adjustments if necessary.

Waymo had been one of Cruise's primary domestic competitors prior to GM's retreat from robotaxis.

WATCH: GM pulls the plug on robotaxi plan