Tesla Introduces Robotaxi Service in Austin Amid High Expectations and Unresolved Issues

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Tesla just launched driverless rides in Austin with its new robotaxi service. After years of teasers, the company started offering rides in 2025 Model Y SUVs without a driver behind the wheel — instead, an employee sits in the front passenger seat as a “safety monitor.”

The service costs a flat $4.20 per ride. Early access invitations went out to a small group of vetted customers last week. Riders used the new Tesla robotaxi app starting Sunday. The fleet is tiny at launch — about 10 Model Ys running in a tight area around South Austin.

Tesla published a robotaxi info page confirming daily service hours from 6 a.m. to midnight. The rides can be limited or paused in bad weather. There’s no full transparency yet — Tesla’s approach is far less detailed than competitors like Waymo, who provide deep insights into their robotaxi operations.

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Tesla employees were spotted managing the fleet near Oltorf Street. Videos show the cars braking suddenly near police vehicles, though reasons are unclear. One early rider said Tesla’s remote support helped during their trip but called the overall experience “very smooth.”

Tesla is using a new version of its Full Self-Driving (FSD) software, which CEO Elon Musk calls “unsupervised.” The company won’t use the in-cabin camera by default during rides, only for emergency support or post-ride checks.

Tesla is tight-lipped on details. They even fought public records requests from Texas transportation authorities and the city of Austin to keep info under wraps. Tesla lawyer Taylor White said some info is confidential trade secrets.

Safety monitors in the passenger seat have unclear roles. They likely won’t intervene in driving but may have a kill switch. This setup contrasts with earlier AV testing, which usually had drivers behind the wheel.

Tesla CEO Elon Musk and self-driving head Ashok Elluswamy celebrated the launch on X.

"Super congratulations to the @Tesla_AI  software & chip design teams on a successful @Robotaxi launch!! Culmination of a decade of hard work.”

The rollout is cautious and small-scale for now. Tesla plans to expand later but hasn’t shared a timeline. Meanwhile, early users risk losing service if they break rules like smoking or sharing footage of violations.

Tesla’s robotaxi debut finally tests Musk’s bold claim: fully driverless cars running on just cameras and AI. The coming weeks will show if Tesla’s approach can actually deliver.

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