Elon Musk Hails 'Successful' Tesla Robotaxis Launch in Austin Amid Reported Glitches | eWeek

Elon Musk Hails ‘Successful’ Tesla Robotaxis Launch in Austin Amid Reported Glitches

Tesla Robotaxi

Source: Tesla

Written By
Liz Ticong
Liz Ticong
Jun 24, 2025
2 minute read
eWeek content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More

Tesla’s robotaxi service just debuted in Austin, boosting the company’s stock by 8% as CEO Elon Musk declared the rollout a major success. But early videos from test rides revealed troubling on-road behavior.

Shortly after the launch, footage emerged showing Tesla’s autonomous vehicles appearing to violate traffic laws, prompting scrutiny from federal regulators, according to Reuters. The incidents cast a shadow over what Tesla had hoped would be a high-profile milestone.

Flat fees and VIP riders

Tesla’s long-teased robotaxi vision finally hit the streets of Austin this weekend, with a small fleet of 10 to 20 Model Y vehicles offering fully driverless rides… sort of. Each came with a human “safety supervisor” in the front passenger seat, and service was limited to clear weather and daylight hours. Musk posted on X celebrating the “successful” unveiling of the breakthrough technology, calling it the result of a decade of work by Tesla’s AI and chip teams.

Musk previously named Austin as the launch site in May. As CNBC noted, the initial rides were by invitation only and curated to a list of early adopters, including shareholders and influencers. Each ride came with a symbolic price tag: $4.20.

Despite the limited scale, the launch made a strong impression on investors. Tesla shares jumped 8% following the trial run, as markets responded to the company’s latest move toward autonomy.

Trouble in test mode

Footage from the Austin rollout revealed moments where Tesla’s driverless cars didn’t just falter — they broke the rules. In videos widely circulated online, vehicles crossed into opposing lanes, stopped mid-road, and exceeded posted speed limits. Reuters noted that what started as a tightly controlled pilot quickly unraveled into a series of public missteps caught on camera.

The National Highway Traffic Safety Administration responded swiftly, contacting Tesla for details. The company confirmed on Monday that its replies to the agency are confidential. The regulator is also assessing how the system operates under adverse conditions, as part of an ongoing investigation into Tesla’s broader Full Self-Driving technology.  

Advertisement

Autonomous roads ahead

Robotaxis are rapidly becoming a fixture on public roads, with multiple players ramping up real-world deployments. Tesla’s fleet may still be in early testing, but others are advancing more quickly. Waymo, in collaboration with Uber, already has deployed around 100 fully driverless vehicles operating in Austin and is now expanding to Atlanta; a clear sign artificial intelligence is taking hold on city streets.

But with test rides braking in traffic and veering off course, the road to trust remains very much under construction.

See our coverage of Tesla’s robotaxi trademark dispute, where bold innovation meets legal roadblocks in the race toward autonomous driving.

Liz Ticong

Liz Ticong is a tech industry expert with hands-on experience in AI, software testing, and product analysis. Specializing in AI news, software reviews, and buyer’s guides, she rigorously tests and experiments with the latest AI and tech tools to provide in-depth, practical insights. As a contributor to eWeek and TechRepublic, she simplifies complex topics, helping readers make well-informed decisions.

eWeek Logo

eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site's focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

Property of TechnologyAdvice. © 2026 TechnologyAdvice. All Rights Reserved

Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.