Tesla to Begin Paid Robotaxi Trials with Driverless Model Y in Austin

Tesla (NASDAQ:TSLA) is preparing to test its long-promised robotaxi vision on public roads, launching a limited paid self-driving service in Austin, Texas, on Sunday. A dozen Model Y SUVs, with empty driver seats and Tesla safety monitors in the passenger seat, will offer rides within a designated area of the city.

Though there’s no formal product launch or Elon Musk webcast, excitement is building online. Influencer Omar Qazi (@WholeMarsBlog), with over 635,000 followers on X.com, confirmed he was invited to ride. Tesla fans are eagerly awaiting first-hand footage from the early riders.

The service comes with strict limitations: it won’t operate during bad weather, in complex intersections, or transport riders under 18. Musk has signaled he may delay the rollout if safety concerns arise.

Tesla, currently valued higher than many auto giants combined, is betting its future on autonomous vehicles and robotics. Musk has long claimed robotaxis would revolutionize the company. However, Tesla’s rollout lags behind rivals like Alphabet’s Waymo and Amazon’s Zoox, both offering commercial robotaxi services in multiple U.S. cities.

Tesla’s approach diverges from industry norms, using only cameras for navigation, avoiding more costly systems like lidar and radar. Musk argues this makes Tesla’s system safer and cheaper, though critics remain skeptical.

Regulatory scrutiny is intensifying, especially after GM’s Cruise program shut down following a fatal crash. Tesla’s cautious approach, however, is earning praise among supporters. Forrester analyst Paul Miller notes the service is “significantly behind” expectations, but influencers like Qazi applaud Tesla’s “extremely cautious” launch strategy.

The limited pilot in Austin is a critical step in testing Tesla’s Full Self-Driving ambitions—and in determining whether Musk’s bold promises can finally materialize.