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The Self-Driving Cars Wearing a Cone of Shame
(slate.com)
This is a most excellent place for technology news and articles.
But the long run goal isn't to be able to run only in very specific, rich cities that are willing to completely retrofit a massive city to support these cars. Clearly they want to be able to eventually replace all and any car usage with self driving cars.
I think you may also be underestimating just how expensive it would be to install systems like that, especially since it has to be maintained too.
I don't remember where but I remember seeing something that literally just needed a bunch of RFID chips or something on the road, honestly just making a standard chip and then making them pay for it would work great. It's way safer and more reliable than current systems.