A Tesla Inc. robotaxi on Oltorf Street in Austin, Texas, on June 22, 2025.
Tim Goessman | Bloomberg | Getty Images
Tesla has received a permit to operate a ride-hailing service in Arizona, according to a statement from the state’s Department of Transportation. The approval, granted on Monday following Tesla’s application on November 13, marks another step in the EV maker’s ambitious plan to launch a commercial robotaxi network.
While this permit is a necessary prerequisite, Tesla will require further approvals before deploying its autonomous ride-hailing service on Arizona roads. The company applied in July to conduct autonomous vehicle testing and operations in Phoenix, both with and without human safety drivers. This move follows the launch of a robotaxi pilot program in Austin, Texas, which utilizes safety valets and remote operators. Tesla also maintains a more conventional car service in the San Francisco Bay Area, hinting at a staged rollout strategy for its autonomous technology.
Tesla did not immediately respond to a request for comment.
The company’s aggressive timeline aims to remove human safety drivers from its Austin fleet before the year’s end and to establish a commercial robotaxi presence in Phoenix and other major U.S. cities by the close of 2026. This ambitious goal comes with inherent risks. Data from the National Highway Traffic Safety Administration indicates that Tesla vehicles equipped with automated driving systems were involved in seven reported collisions following the Texas pilot program launch. These incidents underscore the challenges of navigating complex real-world driving scenarios and the critical need for robust safety measures.
Tesla faces stiff competition in the nascent robotaxi market. Alphabet’s Waymo and Baidu’s Apollo Go have already established significant leads. Waymo, particularly, has a strong foothold in the Phoenix area, operating a substantial fleet of autonomous vehicles. The company reported surpassing 10 million driverless trips across the U.S. in May, showcasing a mature and operational service.
Baidu’s recent earnings update revealed that its Apollo Go service provided 3.1 million fully driverless rides in the third quarter of 2025, representing a year-over-year growth of 212%. This rapid expansion highlights the growing market acceptance and scalability of robotaxi services in China.
Elon Musk has consistently promoted Tesla’s impending autonomous capabilities for years, although tangible results have lagged behind his pronouncements. At the company’s 2025 shareholder meeting, Musk reiterated that the “killer app” for self-driving technology will be when people can “text and drive” or “sleep and drive.”
“Before we allow the car to be driven without paying attention, we need to make sure it’s very safe,” Musk stated. “We’re on the cusp of that. I know I’ve said that a few times. We really are at this point.” However, achieving true Level 5 autonomy – the holy grail of self-driving technology – requires overcoming significant technological hurdles, including improving sensor accuracy, predicting human behavior, and ensuring fail-safe responses in unpredictable situations. Tesla’s reliance on camera-based vision systems, while cost-effective, has been debated by industry experts who argue that a multi-sensor approach, incorporating LiDAR and radar, is essential for achieving the redundancy and robustness required for safe autonomous operation. The race to dominate the robotaxi market is intensifying, and Tesla’s pursuit of full self-driving remains a key strategic priority.
Original article, Author: Tobias. If you wish to reprint this article, please indicate the source:https://aicnbc.com/13148.html
