>In time, human driving will be phased out and that will precipitate removal of speed limits and traffic lights as autonomous cars will be able to use vehicle to vehicle messaging to negotiate intersections. Of course pesky pedestrians and cyclists could still be in the way. That's where lobbying comes in to restrict the pedestrian areas to pockets where cars and people never share the same space. But since cars require much more space than peeople the result will be more sprawl and less walkable places as it will be people who will get pushed aside.

All the incentives you described exists today. On any given road any space devoted to sidewalks or bike lanes means less space for cars, and you already need separation between car lanes and sidewalks. You also have the same incentive to "restrict the pedestrian areas to pockets where cars and people never share the same space", because any controlled access roadway increases speed and throughput. Finally if you restrict pedestrians to certain areas (we all live in megatowers?), that actually makes taxis (including robotaxis) less attractive relative to public transit, because their whole value proposition is that they take you exactly where you want to go. Therefore it's unclear how automated cars would make things worse.

I hate how much space in cities is devoted to cars, and I wish we had much better transit of all sorts.

But - I'm just not sure your analysis is right. Someone who drives a self-owned car will park it in a downtown area for hours. Someone who takes a taxi of any sort will use much, much less amortized parking spot space. New York is a pretty good example of this.

Good public transit beats the snot out of cars, but a dense taxi deployment seems to get more people moved per total car-dedicated-space than private car drivership does.

And if we can reduce the amount of space dedicated to parking, we can increase density, which reduces the need for driving.

So the problem will be if we have self-driving whatevers at the expense of public transit, but perhaps not if it's at the expense of private car drivership.