Tesla CEO Elon Musk will launch its first driverless ride-hailing service in Austin, Texas, this June. Include a fleet of Tesla-owned robotaxis operating with an "unsupervised" version of Full Self-Driving (FSD), meaning no human driver will be in the car.
During Tesla's latest earnings call, Musk described the launch as a cautious but essential step towards full autonomy. "We just want to put a toe in the water, make sure everything's okay, and then put a few more toes in," he said, underlining that public safety remains a top priority.
This movie is a significant step forward in Tesla's long-awaited autonomous vehicle vision. While Musk has consistently promised that full self-driving capabilities are only around the corner, past deadlines have passed without delivery. He now insists this is no longer a distant goal: "This is not some far-off, mythical situation. It's literally five or six months away."
The Austin launch will be Tesla's first paid, unsupervised ride-hailing service with no backup drivers. These vehicles, which will not include customer-owned Teslas, will be the first real-world test of Tesla's autonomous capabilities outside factory settings. They have evaluated unsupervised FSD on private roads, with videos showing Model 3 and Model Y vehicles driving short distances without human involvement.
Despite Musk's confidence, Tesla's approach to autonomy has sparked criticism. Unlike competitors, which depend on lidar and detailed mapping, Tesla's solution is entirely camera-based.
While the company claims FSD (Supervised) has collected over 3 billion miles of data, the system still suffers from fundamental perception difficulties, such as sunlight glare and wet roads. Safety concerns have also been raised, including recent incidents where Tesla vehicles failed to detect motorcycle riders.
Regulatory approval remains an issue. While Tesla has reportedly been in talks with Austin city officials, it is not yet licensed for autonomous ride-hailing in California, where a broad rollout is planned for 2025.
With the unveiling of Tesla's futuristic cybercab last year and growing investment in AI training, 2025 could be the most important year in Tesla's history.