A Tesla Inc. robotaxi on Oltorf Street in Austin, Texas, on June 22, 2025.
Tim Goessman | Bloomberg | Getty Images
Tesla has obtained a permit to operate a ride-hailing service in Arizona, the state’s department of transportation said.
The electrical vehicle company applied for a “transportation network company” permit on Nov. 13, and was approved on Monday, ADOT said in an emailed statement. Additional permits can be required before Tesla can operate a robotaxi service in Arizona.
In July, Tesla applied to conduct autonomous vehicle testing and operations in Phoenix, with and without human safety drivers on board. A month earlier, Tesla began a robotaxi pilot in Austin, Texas, with safety valets and distant operators. Tesla also operates a more traditional automotive service within the San Francisco Bay Area.
Tesla didn’t immediately reply to a request for comment.
Tesla plans to take human safety drivers out of its cars in Austin before the top of this yr. The corporate is aiming to operate a business robotaxi service in Phoenix and a number of other other U.S. cities before the top of 2026.
In line with the National Highway Traffic Safety Administration’s website, Tesla cars equipped with automated driving systems were involved in seven reported collisions following the launch of the corporate’s pilot in Texas.
Competitors including Alphabet’s Waymo within the U.S. and Baidu’s Apollo Go in China are way ahead within the nascent robotaxi ride-hailing market. Within the Phoenix area, Waymo operates a large business business, with no less than 400 autonomous vehicles, the corporate previously told CNBC. In May, Waymo said it had surpassed 10 million driverless trips served to riders across the U.S.
Baidu said in an earnings update on Tuesday that its Apollo Go service “provided 3.1 million fully driverless operational rides within the third quarter of 2025,” representing year-over-year growth of 212%.
Musk has been promising that Tesla will “solve” autonomy for years without reaching its goals. The world’s richest person has continued with the lofty pronouncements.
At the corporate’s 2025 shareholder meeting earlier this month, Musk said the “killer app” for self-driving technology is when people can “text and drive,” or “sleep and drive.”
“Before we allow the automotive to be driven without being attentive, we want to ensure it’s extremely protected,” Musk said. “We’re on the cusp of that. I do know I’ve said that just a few times. We actually are at this point.”
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