Tesla took a bold step into the future of transportation by launching its first self-driving taxis carrying paying customers on Sunday in Austin, Texas. This trial marks a significant milestone for CEO Elon Musk, who has long envisioned autonomous vehicles as a cornerstone of Tesla’s business model.
Describing the event as the “culmination of a decade of hard work,” Musk praised his team’s achievement on his platform X. He highlighted that Tesla’s AI chip and software divisions were developed entirely in-house, underscoring the company’s commitment to controlling every aspect of its self-driving technology.
Super congratulations to the @Tesla_AI software & chip design teams on a successful @Robotaxi launch!!
Culmination of a decade of hard work.
Both the AI chip and software teams were built from scratch within Tesla.
— Elon Musk (@elonmusk) June 22, 2025
On Sunday, several Tesla vehicles were seen cruising through South Congress, a trendy Austin neighbourhood. While the driver’s seats remained empty, a person occupied the front passenger seat to serve as a “safety monitor.” The limited pilot involves around 10 vehicles operating within a confined area, though it’s unclear how much authority these monitors have over the cars during rides.
Influencers Get Early Access At $4.20 A Ride
In the days leading up to the launch, Tesla sent exclusive invitations to a select group of social-media influencers, allowing them to experience the robotaxis firsthand. Many of these early riders quickly shared videos of their experiences online, giving the public a glimpse of Tesla’s autonomous capabilities.
The best tech feels like magic because it’s so normal you don’t even notice it… until you do.
Took a ride in a Tesla Robotaxi today.
In this clip, it pulls aside on a narrow street with construction, making room for an oncoming car that illegally turns into our lane.
The… pic.twitter.com/UZ9S13xGDO
— DJ Seo (@djseo) June 23, 2025
Here is my experience in one of the first public nighttime @Tesla Robotaxi rides. It was smooth, comfortable and just as good as it is during the daytime. pic.twitter.com/7bDvVaWf3A
— Sawyer Merritt (@SawyerMerritt) June 23, 2025
Tesla Robotaxi performance at night is as great as it is during the day. pic.twitter.com/DL864fCVuz
— Zack (@BLKMDL3) June 23, 2025
The company is charging a flat fare of $4.20 per ride during this trial phase, a price point Musk personally revealed on X. This carefully orchestrated soft launch allows Tesla to monitor real-world performance while generating early buzz.
Experts Say True Robotaxi Revolution Still Years Away
While Sunday’s launch signals progress, industry analysts caution that Tesla faces significant hurdles before fully realising its driverless ambitions. “The end of the beginning – not the beginning of the end,” remarked Philip Koopman, a computer-engineering professor at Carnegie Mellon University specialising in autonomous-vehicle technology, as quoted by Reuters. He noted that even if Tesla’s Austin experiment proves successful, scaling robotaxi services across cities will likely take years, if not decades.
Tesla’s soaring stock valuation heavily leans on the promise of robotaxis and even humanoid robots, making this pilot a critical test of investor confidence. Although Tesla remains the world’s most valuable automaker, delivering on its autonomous vision remains a steep climb.
Texas Tightens Oversight As Robotaxis Roll Out
As Tesla’s robotaxis began rolling, Texas lawmakers acted swiftly to establish ground rules for the emerging industry. On Friday, Texas Governor Greg Abbott signed new legislation requiring companies to obtain state permits to operate self-driving vehicles. The law, which comes into effect on September 1, reflects a bipartisan approach to cautiously regulating driverless technology while allowing innovation to proceed under close watch.
With its Austin pilot now live, Tesla has entered uncharted territory. The road ahead may be long, but the journey has officially begun.