Tesla’s Robotaxi Gets Green Light in Texas

Tesla has officially secured regulatory approval to operate its autonomous Robotaxi service across the state of Texas, marking a critical step in CEO Elon Musk’s long-promised vision of driverless urban transport.

According to a listing published this week on the Texas Department of Licensing and Regulation (TDLR) website, Tesla has been granted a “Transportation Network Company” (TNC) license valid until August 6, 2026. The license allows the company to legally provide ride-hailing services statewide, including through autonomous vehicles, without the requirement of a human driver or onboard safety operator.

Tesla had already begun a limited pilot service in Austin in late June 2025, operating a small fleet of Model Y vehicles equipped with its latest version of Autopilot and Full Self-Driving (FSD) software. While the company described the program as "early-stage," it targeted select riders, mainly social media influencers and Tesla content creators, who documented their trips on platforms like X (formerly Twitter) and YouTube.

These early rides were monitored by a safety supervisor in the passenger seat and backed by remote oversight teams in Tesla’s operations center. Now, with official licensing in hand, Tesla is poised to scale its service beyond Austin, and potentially across major urban centers in Texas.

"We’re on track to serve half the U.S. population with self-driving ride-hailing by the end of 2025," Musk said in Tesla’s most recent earnings call, reiterating his bold, and often controversial, ambitions.

This marks the first time Tesla has been licensed as a TNC in any U.S. state, putting it in direct competition with ride-hailing giants like Uber and Lyft. Notably, the Texas license permits Tesla to operate autonomous vehicles without requiring a safety driver, a major differentiator from stricter regulatory environments like California or New York.

Texas has long been considered one of the most permissive U.S. states regarding autonomous vehicle testing and deployment. A new law signed by Republican Governor Greg Abbott earlier this year further cements that stance, requiring AV manufacturers to register with the state, but also empowering state authorities to revoke licenses if safety standards are violated.

Despite regulatory approval, Tesla’s Robotaxi program is not without controversy. Footage captured by local residents and reported by CNBC showed Tesla’s autonomous cars committing traffic violations in and around Austin, raising questions about the maturity and safety of the technology.

While no major injuries or damages have been reported so far, the incidents have prompted federal scrutiny from the National Highway Traffic Safety Administration (NHTSA), which continues to monitor Tesla’s driver-assist and autonomous systems closely.