Texas Grants Tesla Robotaxi Permit, Paving Way for Driverless Operations

Austin, Texas – Tesla Robotaxi LLC has secured a permit from the Texas Department of Licensing and Regulation (TDLR) to operate a ride-hailing service across the state, marking a pivotal moment in the company's pursuit of widespread autonomous vehicle deployment. The permit, valid until August 6, 2026, allows Tesla to function as a transportation network company, with some reports indicating it permits operations without human safety drivers. This significant regulatory approval propels Tesla closer to its stated objective of releasing robotaxis to the public, building on initial pilot programs.

While the TDLR permit grants broad authority for commercial operation, a new Texas state law (SB 2807), set to take effect on September 1, introduces further requirements. This legislation mandates separate authorization from the Texas Department of Motor Vehicles (DMV) for vehicles to be officially classified and operated as fully autonomous without a human driver. Texas has emerged as a key battleground for autonomous vehicle development due to its historically more permissive regulatory environment compared to states like California, attracting major industry players.

Tesla has been conducting a limited ride-hailing pilot program in Austin since late June, utilizing Model Y vehicles equipped with its Full Self-Driving software. These initial trials involved human safety supervisors onboard, tasked with intervening if necessary. CEO Elon Musk recently stated that the robotaxi service is anticipated to open to the general public in Austin next month, and he has expressed ambitious projections, aiming for the service to cover "probably half of the population of the US by the end of the year."

Despite this regulatory headway, Tesla's autonomous driving initiatives have encountered considerable scrutiny and challenges. Incidents of Tesla robotaxis reportedly disobeying traffic rules in Austin during the pilot phase have drawn federal attention, and the company faces ongoing product liability lawsuits and probes related to its driver assistance systems. Past promises of large-scale robotaxi deployment, such as the pledge of one million robotaxis by 2020, have not yet materialized, placing Tesla behind competitors like Alphabet's Waymo in fully driverless commercial operations. According to a tweet from Kalshi, traders forecast a "65% chance of public release in 2025" and a "15% chance of CA launch in 2025," reflecting both market optimism and the inherent uncertainties.