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The self-driving taxis have become popular — with Baidu offering super cheap rides to win customers — and the company is eyeing expansion into other Chinese megacities as local governments rush to issue policies in support of the new technology.

But the robotaxi revolution is also causing some public concerns in China, with the issue blowing up on social media after an Apollo Go vehicle ran into a pedestrian in Wuhan last Sunday.

Footage of the incident spread online has sparked a wide debate about the issues created by robotaxis — especially the threat the technology poses to ride-hailing and taxi drivers.

Authorities in Wuhan have felt the need to respond to the “rumors” about problems caused by robotaxis. The city’s transportation bureau told domestic media that the local taxi industry is “relatively stable”.

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In response to video clips showing a pedestrian lying on the road next to an Apollo Go robotaxi which began trending within hours, a Baidu spokesperson told domestic media that the accident was a “mild” collision that had occurred because the pedestrian had been jaywalking.

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In 2019, Baidu was among the first companies to obtain a business license for operating autonomous vehicles in Wuhan. Then, in 2022, it was granted a license to operate its vehicles on public roads without a safety driver.

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But the robotaxis’ growing popularity has also sparked backlash. Wuhan residents have been complaining for months that Apollo Go cars cause traffic jams by driving slowly and stopping unexpectedly. Viral clips on social media show long lines of cars forming behind an Apollo Go vehicle that is blocking the road.

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It’s unclear whether the controversy will affect China’s plans for autonomous driving. Beijing recently issued a draft guideline that would allow self-driving vehicles to be used in the public transportation and ride-hailing industries. Cities including Changsha and Jinan have announced plans to conduct robotaxi testing schemes.

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So far, the publicity appears to be providing an unexpected boost to Baidu’s stock price. The company’s shares achieved their largest daily gain in over a year on Wednesday, and are still up for the week as of Friday afternoon.