Tesla’s (TSLA) robotaxi test kicked off smoothly on Sunday, with investors and Tesla enthusiasts breathing a sign of relief — at least for now.
“The @Tesla_AI robotaxi launch begins in Austin [Sunday] afternoon with customers paying a $4.20 flat fee!,” CEO Elon Musk posted on X, confirming the start of the test in Austin, Texas.
Following Musk’s tweet, numerous posters on X claimed they were able to hail and ride Tesla Model Y’s emblazoned with “Robotaxi” graphics in Austin, with one claiming he rode on 11 separate trips alone.
Tesla stock was little changed in pre-market trading.
Tesla is starting off with 10-20 Model Y SUVs running as robotaxis in a geofenced area of Texas, with not only safety teleoperators able to control the vehicle in case of emergency, but also a Tesla employee sitting in the passenger seat who can turn the vehicle off in case of an issue. Only select invited Tesla users were invited to test the robotaxi service in Austin.
Scaling a robotaxi business that could take on industry leader Waymo (GOOG) would take thousands of vehicles operating without safety operators, as well as creating the infrastructure to clean and service the robotaxis.
In addition, other players like GM’s Cruise and Uber had to cease operations following high-profile accidents, with an Uber test leading to a pedestrian death.
Nonetheless, Wall Street bulls were cheering Tesla’s early success.
“We took two approximately 15 minute rides around Austin and the key takeaways are that it was a comfortable, safe, and personalized experience,” Wedbush analyst and Tesla bull Dan Ives wrote in a note published late Sunday.
In a particularly tense moment, Ives said. there was a moment where the robotaxi drove up a narrow road going up a hill with cars parked on both sides, with oncoming traffic and people opening their car doors into the road, but the Robotaxi “masterfully maneuvered with patience and safety among this chaos.”
The ride also allowed users to sync their Tesla accounts with the robotaxi, allowing streaming apps like Netflix, Spotify, Hulu, Disney +, etc. to load with user’s content ready to be played, Ives said.
“The Robotaxi’s we experienced today were foundational, and there is a path for the future where these Robotaxis may also have Grok integration, interior customization, and a much more user-centric focus as there’s no longer a need to focus on the driver experience,” Ives said.
Tesla hasn’t revealed its next steps or when the general public will be allowed to summon a robotaxi in Austin. Musk has said he expects “millions” of robotaxis driving around by the second half of 2026, but the CEO has a history of making highly speculative predictions that have not come to fruition.
