Tesla has delayed its highly anticipated robotaxi service launch from June 12 to June 22 in Austin, Texas, citing a need for additional safety testing protocols. The move comes as the electric vehicle maker faces intense competition in the autonomous vehicle market, with Alphabet’s Waymo already operating commercial robotaxi services.
The robotaxi service will begin with a limited rollout of 10-20 modified Model Y vehicles equipped with Tesla’s new “Full Self-Driving Unsupervised” technology. The fleet will be restricted to specific geofencing areas and monitored remotely by company employees. This measured approach contrasts with Tesla’s broader ambitions to rapidly scale to thousands of vehicles if the Austin pilot proves successful.
Despite the delay, Tesla shares have gained 10% following the announcement, helping the stock recover from recent volatility. CEO Elon Musk emphasized the company’s commitment to safety, stating that the launch date could shift if additional testing is needed.
Tesla faces stiff competition in the autonomous vehicle market, with Waymo, Amazon’s Zoox, and startup Avride operating commercial robotaxi services. The Texas capital has emerged as a preferred testing ground for self-driving technology due to its robotaxi-friendly state regulations and tech-forward infrastructure.
Safety advocates and anti-Musk groups plan protests coinciding with Tesla’s expected launch, citing concerns about the company’s driver assistance features currently marketed as Autopilot and Full Self-Driving. However, ARK Invest CEO Cathie Wood maintains her bullish stance on Tesla, projecting a potential 700% surge in stock price to $2,600 per share by 2030.
The global autonomous taxi market is estimated to reach $8 trillion to $10 trillion worldwide, according to Wood. She attributes this rapid growth trajectory to the convergence of artificial intelligence across sectors, positioning Tesla as a robotics, energy storage, and AI company rather than a traditional automaker.
Source: https://www.barchart.com/story/news/32872303/tesla-fails-to-meet-june-12-launch-for-its-robotaxis-is-this-a-big-red-flag-for-tsla-stock