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Google maps does update route in real time. They also integrate Waze data since they own them. Waze was taking heat for routing onto residential side streets which makes me wonder if Google is taking a softer approach. Interesting that you mapped your route with Google maps and Waze at the same time and compared them. I'll have to give that a shot.
They update in real time, but Waze predicts traffic, which is better. For example, in the Bay Area, if you are coming from Sunnyvale and going to Berkeley, you could go up the peninsula side or the east side. GMaps might tell you to take the peninsula route, because right now, the bridge is clear. Waze however will predict that the bridge will be crowded in 40 minutes when you get there, so it will take you up the ea…
I'd be surprised if gmaps doesn't do the prediction you describe (I used to be in a sister team of the team doing traffic prediction).