Tesla Approved for Autonomous Rideshare Service in Arizona

Musk Company Also Operates Driverless-Taxi Service in Austin and Rideshare Service Not Considered Fully Autonomous in Bay Area

A Tesla robotaxi
A Tesla Cybercab in Austin, Texas, on June 22. (Tim Goessman/Bloomberg)

[Stay on top of transportation news: .]

Tesla Inc. was allowed to begin offering autonomous rideshare service in Arizona, clearing the way for its nascent robotaxi business to expand to a new state.

The Arizona Department of Transportation granted the automaker a so-called transportation network company permit on Nov. 17, the agency said Nov. 18 in an emailed statement. The milestone allows Tesla to operate vehicles for the public using an automated driving system with a human safety monitor present.

The company, which has told Arizona that it plans to offer rideshare service in the Phoenix area, previously had a permit allowing testing of autonomous vehicles.



The pace of Tesla’s robotaxi expansion has been closely watched by investors as the electric vehicle maker shifts its focus toward autonomy, robotics and artificial intelligence. Tesla currently operates a driverless-taxi service in Austin and a rideshare service that is not considered fully autonomous in the San Francisco Bay area.

CEO Elon Musk has said the company aims to offer ridesharing in Arizona, Nevada and Florida by the end of the year. The company didn’t immediately respond to a request for comment Nov. 18.

Want more news? Listen to today's daily briefing belowÌýor go here for more info:

Ìý