Tesla begins driverless Cybercab rides in Austin

Tesla has begun offering rides in Austin with a vehicle that has neither a steering wheel nor pedals. The Cybercab is intended to become the main model in the company’s robotaxi fleet.

The electric-car maker said the rides would operate in selected areas of the Texas capital. Tesla planned to present the two-seat autonomous vehicle at an event late in the evening, but no livestream or public comments from Chief Executive Elon Musk had appeared by late evening.

Musk has described the model as an important step toward making Tesla a dominant force in driverless cars. Analysts and investors view autonomous driving as a major future business for the company as Chinese manufacturers intensify competition in electric vehicles. Tesla currently runs a limited robotaxi service with Model Y vehicles in some Texas and Florida cities. Production of the Cybercab began in April, according to the company.

Tesla faces regulatory obstacles as it seeks to expand. US federal rules limit the number of vehicles without steering wheels and pedals that a manufacturer can sell. In California, an important market, Tesla lacks approval for a robotaxi service or testing without safety drivers. Texas authorities list 420 autonomous Tesla vehicles in the state, including 45 Cybercabs. Waymo, the current US leader in driverless taxis, has 988 registered vehicles there.