Tesla Just Got the Green Light to Start a Taxi Service (No, Not That Kind)!

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Photo by Bram Van Oost on Unsplash

Tesla has just snagged a shiny new permit from California regulators, paving the way for a charter service that allows Tesla-employed drivers to ferry employees in company-owned vehicles. Yes, it’s a step toward their ultimate dream of driverless taxis, but hold your horses, folks, this isn’t Uber 2.0 just yet.

The California Public Utilities Commission (CPUC) gave Tesla the thumbs-up earlier this week after they filed an application way back in November 2024. So, what does this mean for the ride-sharing world? Well, not much… for now. This permit isn’t the golden ticket to operate a rideshare program like Uber or Lyft. Instead, it’s more of a practice run for those backend tech systems that will be essential when (if?) they decide to roll out a full-fledged service.

According to Sam Abuelsamid, a vice president of market research at the communications firm Telemetry, this permit seems to be a clever move to work out some kinks before they go public with an actual rideshare app. You know, because testing features with real drivers before going full-on autonomous is a logical step, just ask the folks struggling with their self-driving tech.

Initially, the permit seems to serve a simple purpose: transporting Tesla employees. Where exactly this service will operate in California is currently under wraps, and Tesla has remained unusually quiet about their plans.

Now, in a world where people demand instant services, deploying driverless taxis to users is a lengthy process regulated to the teeth. And while Waymo has quietly started offering driverless rides in select areas across the state, Tesla has yet to navigate the winding road of regulatory approvals needed to make this happen.

Elon Musk, Tesla’s ever-optimistic CEO, reassured investors during a late January call that driverless vehicles would be hitting the streets of Austin very soon, like, next June soon. “This is not some far-off, mythical situation,” Musk declared, perhaps hoping that a sprinkle of bravado could overshadow the complexities involved.

So, while Tesla’s charter service may seem revolutionary, it’s clear we’re not just seconds away from seeing a fleet of driverless Teslas delivering snacks and people around town. Let’s just hope they choose a better name for it than “The Tesla Bus” or something equally cringe-worthy.

AUTHOR: mls

SOURCE: CalMatters