Maybe it knows that if the joggers were to suddenly jump out, doing what you or I would do isn't enough, so it slowed down to a near stop just in case.
Also, it's a bit of a "blind corner", so drifting out toward the middle of the lane might not be the best idea (again, even though it's probably something I as a person in that scenario would have done).
Truth is, we all drive fairly irresponsibly, trusting in the rules of the road and human self-preservation to keep most stuff out of our way. And if we do hit somebody who dashes out on the freeway, well that's an accident or 'their fault' or 'nobody's fault' so no foul.
Will we allow automated drivers that privilege?
Computers are just an extension of ourselves. The people making these systems will make mistakes, these systems will kill people (and arguably already have), but hopefully they will kill less than we currently do by not having them.
There's this stigma around "computers" where people treat them differently than everything else. Yes, you're getting into a car whose programming could cause you to die, but you are always relying on this kind of thing. Getting in a regular car, you are relying on the engineer who designed the braking system to have been correct, you are relying on the factory worker to have been paying attention that day, and the QC robot to have been programmed correctly, etc...
We need to get away from that, we need to treat the computer in your car as you would treat it's braking system. Accidents will happen, people will get hurt, bugs will occur. If they are systemic, there will need to be changes, recalls, and fixes. But the car will never operate in 100% of conditions flawlessly, and neither will you.
Even though the statistics may point to self-driving cars being safer in the aggregate, would an individual be willing to give up control to software which might make a mistake and kill them? Even if, statistically, they might be safer?
Will people make the rational choice, or the emotional choice?
A video where a car manages to stop because a drunk falls into your lane will make the stock soar.
A video where a car hits an old lady who jumps in front of your car will make the stock crash.
There are people on either side who want this technology to succeed or fail (not self-driving, i mean electric cars)
getting there 30s later on average is worth killing grandmas? with automated cars you dont even have to pay attention or care. get in get out.
That being said, looking at that portion of the video again it looks like this may have just been the system having trouble figuring out if the people were in the road until it was closer.