Tesla is preparing to begin its much-anticipated robotaxi pilot program in Austin, Texas, by the end of June, CEO Elon Musk confirmed in an interview with CNBC. The trial marks a significant milestone for the electric carmaker’s shift toward autonomous driving and AI-driven products.
Initially, Tesla plans to deploy about 10 self-driving vehicles in select “safest” parts of Austin, with the goal of scaling up to approximately 1,000 cars over the following months. The launch comes at a critical time for Tesla, as global sales have slowed amid growing EV competition and mounting scrutiny of Musk’s political affiliations and side ventures.
Musk emphasized that Tesla’s long-term future hinges on autonomy and its humanoid robot project, Optimus. “The only things that matter in the long term are autonomy and Optimus,” he stated, underlining the strategic pivot away from building a low-cost EV platform.
The robotaxi launch will face close examination from the U.S. National Highway Traffic Safety Administration (NHTSA), which is currently investigating incidents involving Tesla’s Full Self-Driving (FSD) software, particularly in low-visibility conditions. The regulator recently asked Tesla to detail how its robotaxis will operate in adverse weather.
Meanwhile, Musk revealed that Tesla is in licensing discussions with major automakers interested in using its FSD software — a potential revenue stream that could help commercialize the robotaxi platform faster.
Beyond Tesla, Musk’s AI startup xAI is also making headlines. The company is expanding a massive supercomputer cluster named “Colossus” in Memphis, Tennessee, which will feature one million of Nvidia’s Blackwell chips — part of a broader plan to train advanced AI models. xAI recently acquired a 1-million-square-foot property in Memphis to support the buildout.
While a merger between Tesla and xAI is not currently planned, Musk did not rule it out entirely, stating it would require shareholder approval if it were to move forward.