Tesla has officially received approval to operate paid Robotaxi services in California using its Full Self-Driving (FSD) technology, marking a historic step toward an autonomous future.
Several new Model Y Robotaxis have already been spotted in the state with TCP licenses—typically issued to commercial transport providers—signaling that a public launch is not far off.
Robotaxi among us.
6 robotaxis within one mile radius, this is real!!@Tesla @elonmusk pic.twitter.com/lINLSfR89X— JER (@jonatha28412166) May 28, 2025
But before California sees a full rollout, the company is gearing up for its first major launch in Austin, Texas.
Austin Becomes Ground Zero for Tesla’s Robotaxi Dream
Tesla has set June 12 as the official launch date for its Robotaxi service in Austin. This will be the company’s first real-world deployment of fully autonomous vehicles for public use.
Earlier this week, Tesla conducted a public road test in the city, driving a Model Y without anyone behind the wheel. A Tesla engineer rode in the passenger seat, monitoring the drive. CEO Elon Musk confirmed the test and emphasized that there have been zero incidents involving the autonomous Model Ys on Austin roads so far.
Tesla is poised to begin its long-awaited robotaxi service in Austin on June 12, a milestone in Elon Musk’s plan to reshape the company around driverless vehicles and artificial intelligence https://t.co/Xf6nvqJPMw
— Bloomberg (@business) May 28, 2025
The initial fleet will include up to 10 FSD-equipped Teslas. Musk revealed that the company aims to scale quickly, with plans to add 1,000 more vehicles in the months following launch. For now, Tesla will use the Model Y, but the future lies in its Robotaxi.
Why Austin?
Austin has become a critical testing ground for Tesla’s autonomous ambitions. Texas regulations are relatively lenient, allowing Tesla to experiment with public self-driving operations without the bureaucratic roadblocks seen in other states.
The state still requires basic compliance, such as insurance and monitoring systems, but there’s no mandate yet for autonomous ride-hailing permits. Tesla, along with Alphabet’s Waymo, has formed a task force within the city, making Austin one of the few places where self-driving cars with manufacturer plates are a common sight, especially in the southern neighborhoods.
A Strategic Bet That Investors Are Watching Closely
News of the launch sent Tesla shares up 3% in early trading Thursday, although the stock is still down 12% year-to-date. Investors see the Robotaxi program as a potentially game-changing revenue stream—one that could move Tesla beyond its traditional car sales model.
Elon Musk has long promised a future where Tesla becomes more than just an automaker. With the robotaxi rollout, that vision is starting to materialize. It’s a bold bet on AI, autonomy, and a new kind of urban transportation
The Road Ahead
With the first fully autonomous Robotaxi service launching in Austin on June 12, Tesla is about to put its most ambitious technology into real-world use. If the program succeeds, it could reshape not just Tesla’s future but the future of urban mobility.
California may have given the green light, but all eyes are now on Austin, where the driverless revolution is officially beginning.
