Tesla Inc. (TSLA) is picking up the pace on its robotaxi ambitions, announcing plans to double its Austin fleet next month. That's a pretty aggressive timeline considering the autonomous ride-hailing service only launched in the Texas capital less than six months ago.
CEO Elon Musk took to social media to share that the fleet "should roughly double next month" as the company ramps up deployment. Right now, Tesla operates robotaxis in Austin and the San Francisco Bay Area, though both markets still require safety drivers behind the wheel—a necessary safety measure that limits the service's scalability and economics.
During last month's earnings call, Musk suggested Tesla might be ready to remove safety drivers in portions of Austin by year-end. He stressed the need for "extreme caution" as the service grows, which is probably the right approach when you're dealing with autonomous vehicles navigating real city streets with real pedestrians.
The broader vision is ambitious: Musk said Tesla expects to operate robotaxis in 8 to 10 metro areas by the end of the year. That's a significant expansion from the current two-city footprint.
Regulatory Wins Open New Markets
Tesla's expansion plans got some fresh momentum this week with regulatory progress in two key states. The company recently won approval to operate a ride-hailing service in Arizona, marking another step in its geographic expansion. This comes as the broader robotaxi industry experiences something of a renaissance, with competitors like Waymo and Zoox ramping up operations after years of regulatory scrutiny and technical delays.
Meanwhile, Tesla reportedly cleared a major hurdle in Nevada this week by passing the self-certification process for its robotaxis. This certification enables deployment of autonomous vehicles on Nevada roads, which is a significant milestone for the company's westward expansion plans.
There's a catch, though. Tesla still needs regulatory approval from the Nevada Transportation Authority before launching commercial robotaxi services in the state, and the company hasn't yet applied for that permit. So while the self-certification is important, there's still bureaucratic ground to cover before robotaxis start cruising the Las Vegas Strip.
Shares of Tesla traded up 0.21% at $420.29 on Wednesday.