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Tesla is launching a robotaxi network in the Bay Area this week

Tesla is launching a robotaxi network in the Bay Area this week

It's official: Tesla is bringing its robotaxi network to California – specifically to the San Francisco Bay Area. According to an internal memo obtained by Business Insider, the launch is expected to take place this week. This makes the Bay Area the second city worldwide where Tesla's ride-hailing service goes live – following the successful launch in Austin, Texas.

 

What can users expect?

As in Austin, the service will be available by invitation only. Some Tesla owners in the region will soon have access to the robotaxi app, allowing them to book and pay for rides.

For the launch, retrofitted Model Y vehicles will once again be used – with an additional telemetry unit on board.


The deployment region is expected to cover large parts of the Bay Area – including:

  • Marin

  • San Jose

  • East Bay

Safety driver in the driver's seat

Unlike the Austin pilot project, where a safety monitor sat in the passenger seat, a human will be placed in the driver's seat in the Bay Area. Why?

Regulatory reasons:

Tesla currently only has a test permit with a safety driver in California – not one for driverless tests or a commercial robotaxi service.

By placing an active driver, Tesla remains within the legal framework – according to California law, it is not considered a fully autonomous vehicle. Instead, the whole thing could be regarded as a kind of chauffeured ride-hailing service with "advanced driver assistance" (FSD).

 

Regulatory loophole or clever interim step?

Neither the California DMV nor the California Public Utilities Commission (CPUC) have yet granted Tesla a permit for driverless commercial operation. But through the hybrid model with a safety driver, Tesla can:

  • Continue to operate under its existing test license

  • Collect real customer data

  • And at the same time collaborate with authorities to catch up on formal approval

Elon Musk has previously spoken positively about the willingness of local authorities to cooperate. The launch in the Bay Area was apparently strategically coordinated with regulators to gather initial practical experience.

 

More cities planned

With the launch in California, Tesla is taking the next big step towards autonomous driving – and that under real conditions. Other planned markets by the end of 2025 include:

  • Florida

  • Arizona

  • other cities in the USA

Conclusion: Bold move despite pending approvals

Although Tesla is currently operating in a regulatory gray area, the expansion into the Bay Area demonstrates a clear intent to advance autonomous driving quickly and decisively. With each ride, Tesla collects more data – a crucial factor for the further development of the FSD software and the upcoming robotaxi fleet.

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