The practical problem with this is that individual transport is (1) horribly space-inefficient, (2) doesn't scale well at all. Self-driving vehicles improve both slightly, but it still sucks ass compared to a light rail line. It also sucks from the environmental perspective, putting microplastics from rubber everywhere, overproducing hundreds of tons of lithium-ion batteries, etc.
There are other issues too.
You call up a ride on your phone.
What if you don't have a phone for whatever reason? E.g. it's dead or you've lost it?
With public transit, if you have some cash or a plastic card, you can board. And I'm a proponent of making public transit free (at the point of use) in cities, so you don't need anything at all to travel.
One immediately drops out of traffic
How would a pedestrian cross this "traffic"? Do we cover everything in crosswalks and stoplights, making the system grind to a halt at rush hour (just like cars), or do we force everyone to take those pods? In any case this is just awful urbanism.
No human behavior caused traffic jams or accidents
... instead we will inevitably get much worse outages because someone hacked the control system or the internet is down. I'll stick with human tram drivers thank you very much.