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Tesla Invites Select Users to Texas Robotaxi Trial with Front Seat Safety Monitors

Tesla (TSLA.O) has invited a small group of users to participate in a limited test of its robotaxi service in Austin, Texas, tentatively scheduled to begin this Sunday, according to social media posts and email screenshots. The invitations indicate that a Tesla employee will accompany riders in the front passenger seat during the trial.

This trial in Austin is a critical step for Tesla as the company faces challenges including declining car sales linked to CEO Elon Musk’s political stances. Tesla has increasingly shifted focus from producing affordable electric vehicles to advancing robotics and artificial intelligence, a strategy that underpins much of its market valuation.

Elon Musk has emphasized safety for the trial, stating that the vehicles will be monitored remotely by humans and expressing confidence in scaling the robotaxi service quickly. The initial deployment will involve about 10 Model Y SUVs equipped with Tesla’s full self-driving driver assistance software.

The rollout could be delayed, and operations may be limited or suspended in poor weather conditions. Riders must be at least 18 years old. Tesla’s cautious approach to the robotaxi launch drew approval from X.com user Omar Qazi (@WholeMarsBlog), who received an invitation and noted, “Tesla is rolling out the Robotaxi service extremely cautiously, which is good. Baby steps.” Musk responded, “Very much so.”

Despite the enthusiasm, commercializing autonomous vehicles remains costly and risky. Tesla, along with competitors like Alphabet’s Waymo (GOOGL.O) and Amazon’s Zoox (AMZN.O), has faced federal probes and recalls linked to crashes involving self-driving cars.

Experts have raised concerns about Tesla’s heavy reliance on cameras and AI, without backup sensors such as lidar or radar, warning that adverse weather like fog, heavy rain, or sun glare could compromise safety.

Recently, a group of Democratic lawmakers from Austin urged Tesla to postpone the rollout until September, when new state regulations on autonomous vehicles will come into effect.

Users in Austin who receive invitations can download Tesla’s Robotaxi app to summon a vehicle. One screenshot shared online stated, “Through this exclusive preview, you’ll have the opportunity to provide valuable feedback on our Robotaxi service.” Reuters was unable to immediately verify the screenshots’ authenticity.

Autonomous Truck Startup Plus to Go Public in $1.2 Billion SPAC Deal Backed by Michael Klein

Plus Automation, a self-driving truck startup, announced it will go public in the U.S. through a $1.2 billion merger with special purpose acquisition company (SPAC) Churchill Capital Corp IX, supported by seasoned Wall Street dealmaker Michael Klein. The transaction will provide Plus with $300 million in proceeds aimed at funding the commercial launch of its autonomous trucks scheduled for 2027.

The commercialization of autonomous trucking is accelerating, with industry players moving from ambitious promises to more cautious, incremental progress. U.S. truck operators, who handle most of the country’s freight, are increasingly adopting automation technologies to reduce costs amid driver shortages and rising demand for faster deliveries.

Regulatory changes are also aiding the adoption of self-driving trucks. The Trump administration had proposed exemptions from certain safety requirements and eased incident reporting rules, while in April, California suggested allowing testing of self-driving heavy-duty trucks and other large vehicles on public roads.

Plus’s new SPAC deal marks a comeback after a previous $3.3 billion blank-check merger plan was canceled more than four years ago during the SPAC boom. This time, the company is opting for a more modest valuation and funding amount.

Industry experts highlight that SPAC mergers offer a faster and often less expensive path to going public compared to traditional IPOs, which can be costly and complex.

Hyundai is among Plus’s customers, and the startup is currently conducting public road tests in Texas and Sweden, with additional fleet trials planned for fall 2025. Other players like Uber-backed Aurora Innovation are also testing self-driving trucks in Texas.

The deal is expected to close in the fourth quarter of 2025.

Avride Partners with Hyundai to Expand Robotaxi Fleet

Self-driving technology startup Avride has announced a strategic partnership with Hyundai Motor Co to expand its fleet of robotaxis. Under the deal, Avride will incorporate 100 Hyundai IONIQ 5 cars into its fleet this year, with plans to grow further by 2026 as the company seeks to enhance its autonomous vehicle services and expand into new regions.

Avride, based in Texas, is joining a growing group of companies advancing autonomous vehicle technology and expanding their fleet of robotaxis. This includes Tesla, which is preparing to launch its own autonomous ride-hailing service in California and Texas, and Alphabet’s Waymo, which recently rolled out its robotaxi service on Uber’s platform in Austin.

As part of the partnership, Avride’s IONIQ 5 cars will be retrofitted with the company’s self-driving technology and used exclusively on Uber’s platform in Dallas, Texas. These vehicles will be manufactured at Hyundai’s Metaplant facility in Georgia, and the two companies also aim to explore autonomous delivery services using Avride’s technology.

Avride’s connection with Hyundai is not new, as the startup was previously part of Russian company Yandex’s self-driving division and has collaborated with Hyundai’s automotive supply unit in the past to develop systems for autonomous vehicles.