And level 4 is where Waymo is, and is staying. Their strategy is to to use tiny geofenced areas with a massive amount of preprocessing, mapping out every single part of an area, not just in terms of roads but also every single meta indicator - sign, signals, cross walks, lanes, and so on. And it creates a highly competent, but also highly rigid system. If road conditions change in any meaningful way, the most likely outcome with this strategy is simply that the network gets turned off until the preprocessing can be carried and reuploaded again. That's completely viable in small geofenced areas, but doesn't generalize at all.

So the presence of Waymo doesn't say much of anything about the presence of level 5 autonomy. If anything it suggests Waymo believes that level 5 autonomy is simply out of reach, because the overwhelming majority of tech that they're researching and developing would have no role whatsoever in level 5 automation. Tesla is still pushing for L5 automation, but if they don't achieve this then they'll probably just end up getting left behind by companies that double down on L4. And this does indeed seem to be the most likely scenario for the foreseeable future.