Austin, Texas:
Tesla Inc. launched its long-awaited driverless taxi service on Sunday, marking a low-key start to what Elon Musk envisions as a game-changing business venture.
The initial rollout was restricted to a small area in Austin, Texas Tesla’s hometown with a company employee present in each vehicle to monitor performance. The first riders were carefully selected and included investors and social media influencers who shared their experiences online.
In one video, Herbert Ong, a Tesla fan page operator, praised the car’s speed and its ability to park itself. Another user, @BLKMDL3 on X, described the ride as “smoother as butter.” Tesla investor Sawyer Merritt called the trip “awesome.”
Did 11 Tesla Robotaxi rides today all around Austin with zero issues at all. Smooth as butter.
I am so grateful to the @Tesla_AI team for the invite, you all did such an incredible job. History has been made.
Robotaxi is here, and it’s amazing. What a day. Can’t wait for more! pic.twitter.com/9X0g3oJoPM
— Zack (@BLKMDL3) June 23, 2025
Unlike Tesla’s past high-profile launches like the “Cyber Rodeo” factory event in 2022 or last year’s exclusive Hollywood showcase the robotaxi debut was quiet, with no official event or major announcement. Instead, Tesla is relying heavily on user-generated content and media attention to generate buzz.
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Elon Musk is steering Tesla’s future toward ambitious yet unproven technologies like full self-driving cars and humanoid robots. As Tesla faces a decline in sales and backlash over Musk’s leadership, some investors are banking on these emerging markets to help the company rebound. Tesla stock has already dropped 20% this year.
According to RBC Capital Markets analyst Tom Narayan, robotaxis are a crucial component of Tesla’s growth potential, accounting for roughly 60% of his valuation of the company.
Videos from Sunday’s launch mostly featured ordinary scenes of Model Y SUVs completing short rides, navigating traffic, avoiding pedestrians, and parking all without a driver. However, there were minor glitches. In one case, a user tapped a button to pull over, but the car briefly stopped in the middle of the road before continuing.
Overall, the robotaxi debut was modest but represents the first tangible step in Tesla’s ambitious autonomous journey.
