Tesla Outlines Robotaxi Launch Plans Amid Regulatory Scrutiny in California

Tesla has informed users about its upcoming Robotaxi service in the Bay Area, sending a new terms-of-service agreement on Saturday that details how the rollout will comply with California regulations. According to the agreement, rides in California will be conducted with a safety driver using supervised Full Self-Driving (FSD) software, as authorized by the California Public Utilities Commission. Outside California, rides are described as being conducted autonomously.

An internal memo sent to Tesla staff on Thursday indicated that the Robotaxi service would launch in San Francisco over the weekend as a paid program, with safety drivers in control of the vehicles. The company clarified that drivers would be able to operate the steering and brakes. While Tesla's FSD software can perform tasks such as changing lanes and recognizing traffic signals, it still requires active supervision by a licensed driver.

The launch has drawn attention from California officials. State senator Scott Wiener commented on social media that Tesla does not currently have permits to deploy autonomous vehicles in California and has not applied for them, stating, > "If Tesla actually deploys its AVs without permits, these vehicles should be seized & impounded. We have permitting & safety rules for a reason. Elon isn't exempt."

The California Department of Motor Vehicles confirmed that Tesla holds a permit to test self-driving software with a safety driver but has not applied for driverless testing. The California Public Utilities Commission also stated that Tesla recently notified the agency of its intent to expand service to friends and family of employees and select members of the public under its existing permit.

Tesla's Vice President of AI, Ashok Elluswamy, said during an earnings call that the company is working with regulators to expand the program and will begin its Bay Area rollout with safety drivers. > "We are working with the government to get approval here and, in the meanwhile, launch the service without the person in the driver seat just to expedite and while we wait for regulatory approval," Elluswamy said.