I was in a Waymo last week in San Francisco that had a bicyclist cut in front of us, no hard breaking or jerk just a gradual decrease in speed. I would've hit the break relatively fast myself but Waymo handled it without issue in a very smooth way.

Also see https://x.com/dmitri_dolgov/status/1868778679868047545

I don't know how it'll handle significantly more pedestrians, but I assume that they're confident enough in the models and have run enough simulations to expand to Tokyo.