Tesla Promises Paid Robotaxis Next Year, Amid Challenges

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By Muhammad Hussain

Tesla is ready to launch the robotaxis in California and Texas next year amid regulatory hurdles.

Key Takeaways

  • Tesla Robotaxi is facing difficulties in regulation and technicalities.
  • Waymo also went through a long process to receive a permit in California.
  • Texas has far fewer strict regulations than California.
  • Tesla hasn’t applied yet for the permit.
Tesla Cybercab

Elon Musk, CEO of Tesla, made it clear on Wednesday that driverless ride-hailing services will be on the road in Texas and California by next year. However, technical and regulatory challenges remain the same.

He launched the “Cybercab” at Tesla’s Robotaxi event on Oct 10. It is a two-seater and two-door cab without pedals and a steering wheel, using cameras and AI to navigate roads.

The automobile industry is also exploring the world of AI. At an event ”Go Get Zero” on Oct 8, Uber also launched an AI assistant powered by OpenAI’s GPT-4 technology to help drivers transition to electric vehicles (EVs).

Musk is confident and said,

“We think that we’ll be able to have driverless Teslas doing paid rides next year.”

He further added that Tesla now provides its employees in the San Francisco Bay Area with a ride-hailing service via an app.

According to the CPUC, Tesla does not need a permit for its employee ride-hailing service in the Bay Area since staff members are not considered passengers.

The firm is proceeding with the challenge of getting permits as it needs to provide fully driverless rides to paying clients, especially in California.

Waymo is known for providing paid rides in autonomous vehicles in Los Angeles, Bay Area, and Phoenix, Arizona. It also made efforts and tested for months before receiving its first approval from the California Public Utilities Commission (CPUC), which oversees ride-hailing services.

Reuters reported that Tesla last used its autonomous vehicle testing permit in 2019, according to the California Department of Motor Vehicles, which oversees the state’s testing and deployment of these vehicles. A safety driver is required for such a permit.

Authorities said that the company presently hasn’t granted a permit without a driver and has not applied for one.

A request for comment from Tesla went unanswered, said Reuters

On Wednesday, Elon Musk didn’t take the regulation in California lightly but acknowledged it and said,

“It’s not something we totally control; I would be shocked if we don’t get approval next year.”

CEO of Gerber Kawasaki Wealth and Investment Management, Ross Gerber, a Tesla shareholder, also contributed to this matter and said,

 “Dealing with regulators is a very difficult process, and no one should consider it a walk in the park.”

Although Texas has far fewer strict regulations than California, corporations routinely conduct months or even years of testing before introducing paid services.

States are generally responsible for developing legislation governing the use of autonomous vehicles.

Regulators have expressed reservations about Tesla’s Full Self-Driving (FSD), which is the company’s cutting-edge driver assistance technology and the foundation of its robotaxi ambitions.

A recent partnership between Qualcomm and Alphabet’s Google is also waving innovative contributions, allowing manufacturers to create their own AI voice assistants.

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