Tesla (NASDAQ:TSLA) shares edged upward during early trading on Monday, following the rollout of its Robotaxi pilot program in Austin, Texas. The limited launch features a small fleet of 10 to 20 Model Y vehicles operating within specific geo-fenced zones across the city.
Currently, the autonomous ride-hailing service excludes airport routes and incorporates several safety measures. These include a safety monitor seated in the front passenger seat and remote supervision teams overseeing operations from afar. However, the onboard safety attendant does not actively control the vehicle during trips.
Market response was cautious, with RBC Capital Markets analysts noting that while the launch itself was largely anticipated, the combined use of in-car monitors and remote supervision adds a new layer to Tesla’s approach.
RBC reiterated its stance that autonomous driving technology is central to Tesla’s future valuation, potentially accounting for up to 60% of its market value down the road. The firm also highlighted Tesla’s strategy of relying on a camera-based, AI-driven system rather than more costly lidar and radar technologies, which could offer cost efficiencies.
Meanwhile, Wedbush analysts who tested the service described it as offering “a glimpse into the future,” praising its comfortable ride and adept handling of complex traffic scenarios, including narrow, congested roads with various obstacles.
On the regulatory front, Texas recently enacted legislation requiring autonomous vehicle operators to secure official approval before deploying fully driverless services, with the law going into effect on September 1.
Although Tesla’s current pilot does not yet include the upcoming “cybercab” model specifically designed for autonomous rides, industry watchers see this as a key step forward in Tesla’s pursuit of AI-powered mobility solutions.