Alphabet Inc. (GOOGL): Why Waymo is an Agentic Differentiator

1H:26 Waymo miles were ~3% below our prior forecast (San Francisco -8%, Phoenix -5%, Austin -6%, while Atlanta was meaningfully ahead), largely due to transitory disruptions including weather-related service pauses in 1Q, a freeway operations pause from May 19 before gradual resumption in late July, and a temporary recall affecting ~3,700 cars. Despite the miss, we raise our '28 miles driven by ~2% as new cities (Denver, San Diego, Tampa Bay) ramp faster than expected, and lift '27/'28 revenue by 2%/3%, while cutting '27/'28 San Francisco + Phoenix miles by 14%/11%. We now model Waymo to reach ~8K/~16K vehicles by YE'27/'28 and ~120K by 2032, with ~$20bn of revenue by 2032 (miles/revenue '25-'32 CAGRs of 83%/89%;