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How we know: TechCrunch's June 22, 2025 report by Sean O'Kane and Kirsten Korosec, which cites Tesla's published rider rules and firsthand observation; CNBC's June 23, 2025 report, including an NHTSA statement.

Facts as known at: June 23, 2025 (TechCrunch's June 22 launch report and CNBC's June 23 report on NHTSA contact)

TransportationCase study

Tesla starts robotaxi rides in Austin, with an employee in the passenger seat

After a decade of promises, Tesla began offering invited riders trips in self-driving Model Ys in a small part of South Austin. Within a day, videos of erratic driving drew questions from federal regulators.

Tesla has started giving rides in Model Y SUVs running its newest self-driving software, with no one behind the wheel. Here's what changed after the launch, what it cost, and what went wrong.

Cost and outcome (as of June 2025)

  • Fleet: "about ten 2025 Model Y SUVs" (TechCrunch) or "10 to 20" (CNBC). (TechCrunch, CNBC)
  • Staffing: a Tesla employee in the front passenger seat as a "safety monitor." (TechCrunch)
  • Access: invited riders only, in a narrowly defined area of South Austin. (TechCrunch)
  • Regulator: NHTSA "is in contact with the manufacturer to gather additional information." (CNBC)
  • Fleet cost and safety data: not disclosed.

What Tesla launched

Rides began Sunday, June 22, for customers Tesla had invited to download a new robotaxi app. TechCrunch reported that many invitations went to prominent fans of the company; CNBC described those invited as "mostly promoters of Tesla's products, stock and CEO."

Tesla's rider rules, published June 22, say the service runs daily from 6:00 a.m. to 12:00 a.m. but "may be limited or unavailable in the event of inclement weather," TechCrunch reported. CNBC described it as operating "during daylight hours and only in good weather."

The cars use what Musk calls an "unsupervised" version of Tesla's Full Self-Driving software, using just cameras and end-to-end AI, an approach TechCrunch noted differs from rivals such as Waymo. A Tesla employee sits in the right front passenger seat. TechCrunch said it was unclear what control, if any, these safety monitors have. Waymo and Cruise historically used safety staff during testing, TechCrunch noted, not commercial service.

Tesla's rules also say it "may suspend or terminate Robotaxi access" for riders who post content showing rule violations or misuse of the service, TechCrunch reported. The in-cabin camera is off during rides by default, except when a rider requests support or in an emergency.

"Super congratulations to the @Tesla_AI software & chip design teams on a successful @Robotaxi launch!! Culmination of a decade of hard work," Musk wrote on X.

What people saw

Author Ed Niedermeyer, in Austin to watch the rollout, saw a branded robotaxi without a rider brake suddenly twice, once in the middle of an intersection, TechCrunch reported. Both times it was passing police vehicles parked beside the road.

Other videos shared online showed a robotaxi traveling the wrong way down a road, CNBC reported. NHTSA said it "is aware of the referenced incidents and is in contact with the manufacturer to gather additional information." The agency doesn't pre-approve vehicle technology; automakers certify their own vehicles meet federal safety standards.

Tesla has also tried to keep information about the service private. It tried to block a TechCrunch public records request to the Texas Department of Transportation. "Tesla seeks to be as transparent as possible, however… some of the requested information cannot be released because it is confidential information, trade secrets, and/or business information," Taylor White, Tesla's senior counsel on infrastructure, wrote in an April letter to the Texas attorney general's office.

A decade of promises

CNBC listed Musk's earlier timelines. In 2015, he told shareholders Tesla cars would achieve "full autonomy" within three years. In 2016, he said a Tesla would drive cross-country without human intervention before the end of 2017. In 2019, he said Tesla would have 1 million robotaxi-ready vehicles on the road in 2020.

What went wrong

  • The scale is small. Ten to 20 cars, by different counts, in part of one city.
  • There's still a person on board. The safety monitor's role isn't explained.
  • Erratic driving on day one. Videos drew NHTSA's attention within a day.
  • What we don't know yet: how often remote staff or monitors intervene, how many rides the fleet gives, and what Tesla is withholding from public records.

Our follow-up question for Tesla

What can the passenger-seat safety monitor do to control the car, and how often have they had to act?

Sources

  1. Sean O'Kane and Kirsten Korosec, TechCrunch, “Tesla launches robotaxi rides in Austin with big promises and unanswered questions,” June 22, 2025. techcrunch.com
  2. CNBC, “Tesla robotaxi incidents caught on camera in Austin draw regulators' attention,” June 23, 2025. cnbc.com

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© 2026 Real World Wire. Written October 25, 2026.