Tesla Launches Driverless Model Y SUVs in Austin
After a decade of anticipation, Tesla has finally started offering rides in driverless Model Y SUVs in Austin. This marks a significant milestone for CEO Elon Musk, who has long been touting the company’s ability to launch such a service. The rollout will put Musk’s belief in deploying fully autonomous vehicles using cameras and AI to the test, setting Tesla apart from competitors like Waymo.
Videos shared on social media and reports from sources in the city confirm that the rides are now available, with a flat fee of $4.20 per ride. Early-access invitations were sent to select customers, allowing them to download the new robotaxi app and hail rides. The service operates daily from 6:00 a.m. to 12:00 a.m., with a Tesla employee serving as a safety monitor in the front passenger seat.
The initial fleet consists of about 10 2025 Model Y SUVs operating in South Austin. A Tesla robotaxi depot has been spotted in the area, with driverless vehicles entering and exiting the location. While the service is in its early stages, Tesla has big plans for expanding its autonomous ride-hailing operations.
Challenges and Strategies
Tesla’s robotaxi launch has raised questions about safety and transparency. The company has been selective in sharing information about the service, leading to speculation and attempts to block public records requests. One notable strategy is the use of human safety monitors, although their exact role and level of control remain unclear.
Unlike traditional autonomous vehicle testing, Tesla is using a new “unsupervised” version of its Full Self-Driving software in the Model Y vehicles. The company is also implementing strict rules for riders, including restrictions on using the in-cabin camera and sharing content on social media.
Despite some initial challenges reported by early riders, including the need for remote support, Tesla executives have celebrated the milestone. Musk praised the software and chip design teams for their hard work, marking the launch as a culmination of years of effort.
As Tesla continues to refine its robotaxi service and expand its operations, the company faces ongoing scrutiny and the need to address safety concerns while delivering a seamless and efficient ride-hailing experience to customers.
