I totally agree that grade-separated bike and pedestrian lanes would be better. What I’m arguing against is that this behaviour by Waymo is less safe than San Francisco’s human drivers given the rules as they are.
Don't think for a minute I want human drivers anywhere near bicyclists or pedestrians or assume they are anywhere better for general-purpose driving. Human drivers are awful, but I'd posit the behavior of these automated vehicles isn't much better toward making a welcoming road environment as they are programmed. The laws — particularly for California and what is treated as standard in North America — don't help matters at all.