Tesla Launches Restricted Robotaxi Pilot in Austin

Tesla has launched its robotaxi service in Austin, Texas, deploying driverless Model Y vehicles with an employee seated in the passenger seat for safety monitoring. The pilot is restricted to a geofenced area and operates only during select hours, with no rides permitted during rain or overnight. This rollout is an early test phase following years of delays, and while early feedback from mostly Tesla enthusiasts has been positive, analysts note the service falls short of Elon Musk's broader vision for fully autonomous fleets. The launch comes as new Texas legislation will soon require permits for autonomous vehicles, and as Tesla contends with competition from companies like Waymo, which has already completed 10 million paid rides in several cities. Investors see potential for significant market growth, but acknowledge scaling and regulatory hurdles remain. Tesla plans continued testing and aims for broader commercialization following its next earnings call.