Tesla's Robotaxi Plans Under Federal Scrutiny Ahead Of Austin Launch As Elon Musk Vows Nationwide Rollout By Year-End

Tanya Rawat

Thu, May 15, 2025, 8:31 PM 2 min read

Federal regulators are pressing Tesla Inc. (NASDAQ:TSLA) for details connected however its driverless taxis volition run safely successful challenging conditions arsenic the electrical conveyance shaper prepares for a pivotal robotaxi motorboat successful Austin adjacent month.

What Happened: The National Highway Traffic Safety Administration (NHTSA) has requested accusation connected however Tesla’s autonomous vehicles volition grip fog, prima glare, rain, and different low-visibility situations linked to erstwhile accidents involving the company’s driver-assistance software, according to a nine-page letter, according to an Associated Press study connected Wednesday.

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CEO Elon Musk has reassured investors the Austin motorboat volition proceed arsenic planned, laying the groundwork for “millions of robotaxis” nationwide by year-end. “Can you spell to slumber successful our cars and aftermath up astatine your destination?”

Musk asked during an April net call. “I’m assured that volition beryllium disposable successful galore cities successful the U.S. by the extremity of this year.”

The national enquiry comes amid Tesla’s intensive “Project Rodeo” investigating successful Austin, wherever astir 300 operators person been secretly evaluating prototype self-driving software, Business Insider reported.

Why It Matters: The institution has been accumulating “critical miles,” conducting grooming with section archetypal responders, and investigating its robotaxi app up of a targeted June 1 launch.

Industry veterans stay skeptical of Tesla’s readiness. Former Waymo CEO John Krafcik publically questioned whether the company’s Cybercab conception incorporates indispensable information features, stating a “serious robotaxi would show the primacy of safety.”

Tesla’s banal has risen 45% since Musk announced helium was stepping backmost from his relation successful President Donald Trump‘s medication to absorption connected the company, though shares stay down 17% year-to-date. With first-quarter profits down 71%, the occurrence of the robotaxi inaugural has go progressively captious to warrant Tesla’s valuation.

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