The electric carmaker kicked off the service at its home in Austin, Texas, limiting it to a select few owners who received early access invites; these people were vetted beforehand and, as TechCrunch reported, have been among the brand’s most ardent fans. Each ride costs a flat rate of – you guessed it, since this is Elon Musk we’re talking about – US$4.20 (RM18).
Interested users will need to download a separate Robotaxi app to hire a “cab” – the fleet currently consists of ten facelifted Model Ys, updated with the latest self-driving software and coming with Robotaxi stickers. Once inside, they can start the journey using the car’s built-in rear touchscreen, where they can also adjust the air-con and seating position and even stream their own music.
Of course, this being Tesla, there are a few caveats. For one, the “unsupervised” term previously used was wide off the mark, as every Robotaxi comes with a Tesla “safety driver” in the passenger seat that is ready to stop the car in case things go awry. This is empathically not the case with the other driverless taxi service in the US, Waymo.
Passengers are also not allowed to sit on the driver’s seat – it’s the rear bench or nothing, unfortunately. What’s more, those riding in the car have to be 18 or older, and the service is also limited to a small geofenced area of the state capital.
For what it’s worth, video posted by those lucky enough to ride in the Robotaxi showed the system functioning reasonably well, occasionally better than Waymo, although one car did get confused by police cars at a crime scene and stopped twice as if being pulled over.
Eventually, the Model Y Robotaxis will be replaced by the specially-designed Cybercab – a two-door, two-seater coupé with scissor doors and no steering wheel or pedals. That car is being targeted to enter production 2026 with a price of less than US$30,000 (RM127,200), although given that this is Tesla we’re talking about, we can take both with a heavy pinch of salt.
A video of a Tesla Model Y Juniper driving around without a driver in the driver’s seat was uploaded by X user @TerrapinTerpene this week. It looks like a regular black Model Y at first, until you notice a Robotaxi logo on the front door. Tailing the black Robotaxi Juniper was another white Juniper following behind, but this one had a regular driver – the assumption is that it was a car full of Tesla employees on standby in case something went wrong with the robotaxi.
Tesla CEO Elon Musk took to the X platform to share some info about this particular Robotaxi prototype. According to Musk, it’s a standard production Model Y that rolled off the factory floor, but with a special version of the software that will be released to public soon.
— Terrapin Terpene Col (@TerrapinTerpene) June 10, 2025
As for Robotaxi public rides? He says tentatively it is scheduled to begin on June 22. He also added that on June 28, a Tesla will be driving itself straight off the factory floor to the customer’s house. Teslas currently already move autonomously inside the factory, moving from one part of the production line to another.
While this new version of the FSD software that allows unsupervised Robotaxi operation already seems to work well enough, Musk reveals that an even more advanced version with 400-450% more parameters is currently in alpha stage, but will only be ready to be tested in a few months.
Looks like the Robotaxi roll-out will begin with existing Tesla models. Previously, Tesla unveiled a specialised two-door Robotaxi model with no steering wheel at the We, Robot event in 2024. That model isn’t quite ready yet, obviously.
According to a report by Bloomberg, Tesla will begin its driverless ride-hailing service in Austin, Texas on June 12 this year. This will mark a key moment for the company as it pivots away from its core passenger vehicle business towards self-driving taxis and artificial intelligence, with last year’s Robotaxi (also called the Cybercab) being a statement of intent.
Tesla CEO Elon Musk previously said the robotaxi fleet will initially be made up of self-driving Model Y cars which the company has been testing on Austin public streets. He noted in a post on X (formerly Twitter) that there have been no incidents during testing and that the company was “a month ahead of schedule.”
“We’ll start with probably 10 for a week, then increase it to 20, 30, 40, and I think we’ll probably be at 1,000 within a few months, and then we’ll expand to San Francisco, California, Los Angeles, San Antonio,” Musk said in an interview with CNBC on May 20.
Eventually, Tesla will transition from using the Model Y to the Robotaxi/Cybercab, the latter being a custom-built autonomous vehicle with no steering wheel or pedals. This initiative will also support the eventual rollout of an unsupervised version of Tesla’s Full Self-Driving (currently tagged as ‘Supervised’) to the masses, whereby drivers technically won’t need to pay attention while driving because the car will do that on its own.
At this point, Tesla is not listed as a ride-hailing operator by Texas regulators, although the state does not restrict autonomous vehicle testing. As such, Tesla is expected to employ remote human operators – the company is hiring “teleoperations specailists” – for its robotaxi service in the initial rollout phase. These individuals will be able to intervene remotely should the robotaxi encounter complex traffic situations.
For the past several days, Tesla has been testing self-driving Model Y cars (no one in driver’s seat) on Austin public streets with no incidents.
A month ahead of schedule.
Next month, first self-delivery from factory to customer.
Tesla’s ‘Redwood’ project has finally been revealed, and as expected, it isn’t a low-cost electric vehicle (EV) but a robotaxi that is simply called the Robotaxi (or Cybercab). Before getting into the details, it’s best to understand company CEO Elon Musk’s vision for the purpose-built vehicle.
In his address at the recently concluded ‘We, Robot’ event, he said that “today’s transportation sucks” as it costs too much, isn’t safe and isn’t sustainable. To add to that, cars can cost too much to buy and own, but the most important thing highlighted was time.
According to Musk, cars are typically used only 10 hours a week and left idle for most of time. With a fully autonomous car, that usage can increase by as much as 10 times, indirectly making it 10 times more valuable in terms of service.
With autonomy, you get more of your time back as there’s no need to look for parking or perform mundane things like getting your car cleaned and charged. The claim is autonomous cars give time back to people, allowing them to do whatever they want as the car brings them to their destination without any human intervention. He likened the transition to elevators, which previously required an operator to get you to your desired floor but you now simply push a button to do just that.
Safety was also a big talking point, with Musk saying a self-driving system (basically a robot if you want to tie in with the event’s theme) can live “millions of experiences” and trained by data from the widespread use of the company’s Autopilot and Full Self-Driving (FSD) systems.
With the concept talk out of the way, what is the Robotaxi all about then? Well, it is a two-seat car that appears in profile as a sleeker, more compact Model 3 with a sloping roofline and butterfly doors, but is visibly narrower. The interior does away with a conventional steering wheel and pedals, with just two seats, an armrest and a large touchscreen available to passengers, along with a sizeable boot.
The Robotaxi is claimed to be equipped with a more advanced version of the FSD that can be used unsupervised as opposed to the current version that still requires drivers to be ready to take over when required. You’ll also notice the lack of a charging port door, and that’s because the Robotaxi supports inductive charging.
Musk demonstrated the Robotaxi’s capability in a controlled setting at the Warner Bros. Studio – the site of the event – by simply getting into one of 50 units present and was driven to the main stage. He won’t be the only one to experience the Robotaxi either, as attendees will also be given rides in the EV with other examples roaming around.
BREAKING: Here is the first look at Tesla’s Cybercab.
He didn’t provide detailed specifications of the Robotaxi but he did confirm that it is overspecced with Tesla’s AI5 computer, which was revealed in June this year and boasts 10 times the capability of the existing Hardware 4.0 found in today’s Teslas.
Unlike some robotaxis, Tesla’s offering will be available for purchase at a cost of below USD30,000 (about RM128k) – that kind of meets the “affordable Tesla” dream – with production slated to begin sometime in 2026. In that sense, it’s not really a service you’re getting but a personal autonomous robot car that can get you to where you need to be without you touching the steering wheel, and then proceeding to get itself cleaned or charged before returning to get you to your next destination. This is a little different from what Rimac is offering.
According to Musk, the unsupervised FSD will make its way to future units of the Model 3 and Y and be available to use in states like Texas and California first. Other models will also get it too, but whether you’re allowed to use it will depend on local regulations.
At this point, the Robotaxi sounds a lot like the cars you see in the 2004 movie I, Robot (see the connection?), and that’s precisely what Musk trying to sell: a world where robots make our lives easier to spend time on things we want. Of course, we’ll have to see if the ambition matches the reality in the coming years.
Robotaxi is premium point-to-point electric transport, accessible to everyone pic.twitter.com/oLykwaaTHm
In addition to the Robotaxi, Musk also introduced the Robovan that should do the same things as its smaller autonomous sibling, but with the ability to ferry up to 20 passengers and goods. Functionality-wise, it shouldn’t be too dissimilar to an automated rapid transit (ART) trackless tram system, although it does look more futuristic – Musk insists vehicles should look that way to reflect his vision of the future.
Musk ended his presentation by saying the learnings from autonomous vehicles can also be applied to robotics, so he brought out the latest version of the Tesla Bot (codename Optimus). What started out as a man in a suit is now a working humanoid robot that can walk on its own without assistance and serve drinks at the event. The goal of this, as the CEO explains, is to provide people with their own “personal R2D2 or C-3PO” to help them with chores and other tasks.
The Tesla CEO has, in recent times, attempted to steer the company away is core business making and selling EVs to being an artificial intelligence (AI) robotics company. Today’s event is meant to reinforce that stance, but it remains to be seem whether the Robotaxi (and its other stage mates) can accomplish the steep task asked of it.
Electric carmaker Tesla has delayed the launch of its robotaxi to October due to instructions for the design team to rework certain elements of the vehicle, reported Bloomberg as cited by Reuters.
The “Redwood” project emerged to be a robotaxi, in place of the low-cost ‘Model 2’ that was to be priced from US$25,000 and positioned below the Model 3 reported Reutersin April citing internal messages sighted by the news wire.
“I’ve seen no indication that Tesla is on track for a meaningful deployment of the kind of automated driving system that Tesla has consistently promised,” University of South Carolina law professor Bryant Walker Smith, with expertise in autonomous vehicle law told Reuters.
Some others are more optimistic. “In the grand scheme of things, two months don’t change the picture. I actually think it’s a good thing that Elon and company are getting their ducks in a row to do this launch right,” said Jamie Meyers, senior analyst at Laffer Tengler Investments, which holds positions in Tesla, said Reuters.
Cheaper Tesla models have been pitched to be set for debut before the second half of 2025, and the ‘unboxed’ manufacturing method was stillborn along with the ‘Model 2’, and the brand’s upcoming models will instead use current manufacturing lines and share aspects with current platforms.
Also in April this year, Tesla CEO Elon Musk was reportedly in Beijing, China for meetings, when Tesla received endorsement for data security regulations, enabling Tesla vehicles to access parts of China which were previously off-limits to the cars. Some reports suggested that Tesla partnered with Baidu for map and navigation data, in order to allow Full Self Driving (FSD) to work in the Chinese market.
In May this year, Musk proposed the use of Tesla vehicles as ‘taxis’ in China as a way of testing the vehicles’ FSD functions for the China market, though Chinese authorities did not immediately approve widespread use of FSD functions, reported China Daily.
Tesla CEO Elon Musk has proposed the use of Tesla vehicles as ‘taxis’ in China as a way of testing the vehicles’ ‘full self-driving’, or FSD functions for the Chinese market, China Daily has reported.
The news outlet cites sources as saying that the Chinese government may have offered partial support for the plan, and Musk has reportedly suggested implementing autonomous driving capabilities in China’s taxi services, according to sources close to the matter, according to the news site.
While China “welcomes Tesla to do some robotaxi tests in the country” and hopes that the company will “set a good example”, Chinese authorities did not immediately approve widespread use of FSD functions, China Daily reported.
Tesla plans to unveil its robotaxi on August 8, for which the EV maker plans to use the ‘unboxed’ manufacturing strategy originally intended for the stillborn Model 2 project.
Tesla has been in partnership with Baidu for collaboration on map and navigation data for autonomous driving services in China, though for FSD functions, Tesla still needs approval to collect and transfer data required for Tesla vehicles’ driver assistance features, according to the report.
While some outlets reported that Tesla had signed a deal to get regulatory clearance for self-driving vehicles in China, the latest development in terms of Tesla-Baidu cooperation only indicated that Baidu map accuracy has improved ‘to some extent’, and that it has no relation to the car’s FSD function, the report added.
The partnership between Baidu and the American EV maker began in 2020, when Tesla began integrating Baidu navigation maps into its vehicles for the Chinese market.
The reported by China Daily cites the China’s ministry of natural resources as saying that “all intelligent driving systems are required to obtain a qualification before they can operate on public roads”, and foreign companies need to partner with domestic companies which have obtained this qualification.
Tesla has reportedly scrapped plans for a low-cost electric vehicle (EV), instead concentrating on a “robotaxi”, according to Reuters citing unnamed sources and internal messages sighted by them.
If true, this shift occurs amid significant competition from Chinese EV manufacturers like BYD, who offer vehicles at much lower price points, such as the BYD Seagull and the BYD Dolphin.
The reportedly-canceled entry-level car, sometimes referred to as the Model 2 or “Redwood”, was anticipated to start at around US$25,000. Reuters also says it was called the project NV91 internally and H422 externally.
A decision to refocus on a robotaxi instead might have come about due to increased confidence in Tesla’s Full Self Driving (FSD) capabilities, as user feedback on the new overhauled V12 powered by end to end neutral networks has been overwhelmingly positive.
In Malaysia, Full Self Driving has been offered as a RM32,000 option in Malaysia, but we cannot use it yet.