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Tesla gains approval to test robotaxis in Arizona

Tesla has secured approval from the Arizona Department of Transportation to begin testing autonomous robotaxi vehicles in the Phoenix metro area, the agency confirmed Friday. The trials will initially involve cars equipped with safety drivers to monitor operations.

Tesla applied for the permit in June as part of CEO Elon Musk’s plan to launch an autonomous ride-hailing service that could reach half of the U.S. population by the end of the year. While no start date or trial duration has been disclosed, Arizona’s approval marks a significant expansion of Tesla’s robotaxi testing beyond its limited pilot in Austin, Texas, launched earlier this year.

In Austin, Tesla trialed about a dozen vehicles under strict conditions, including a safety monitor in the front passenger seat and a select group of passengers. The Arizona expansion puts Tesla into one of the nation’s most competitive self-driving markets, where Waymo and Cruise have already been testing robotaxi services.

The approval reflects growing state-level support for autonomous vehicle experimentation, even as federal regulators continue to scrutinize safety and data transparency. For Tesla, success in Arizona could provide critical validation for its long-promised robotaxi ambitions.

Waymo and Via to launch robotaxis for public transit in Arizona

Alphabet’s Waymo (GOOGL.O) is teaming up with Via Transportation (VIA.N) to integrate its autonomous vehicles into public transit, starting with Chandler, Arizona, the companies announced Thursday.

This fall, Waymo’s robotaxis will be added to Chandler Flex, the city’s on-demand neighborhood transit service powered by Via’s software. Via, which provides tech-enabled services for public transport in more than 30 countries, said the partnership marks a milestone in making autonomous vehicles part of mainstream public mobility.

“We’re delighted that this partnership with Waymo paves the path for AVs to become accessible to millions of global public transit riders, enhancing mobility, lowering operating costs, and improving safety outcomes,” said Via co-founder and CEO Daniel Ramot.

Waymo has been steadily expanding its U.S. footprint as competition in the robotaxi sector intensifies. On Wednesday, it announced plans to launch autonomous cab rides in Nashville, Tennessee, next year through a partnership with Lyft (LYFT.O).

The company currently operates paid driverless rides in Phoenix, the San Francisco Bay Area, Los Angeles, Austin, and Atlanta. Meanwhile, EV maker Tesla (TSLA.O) entered the field in June with a limited robotaxi service in Austin and aims to expand to the Bay Area.

Amazon’s Zoox Robotaxi Debuts Free Rides on Las Vegas Strip

Amazon-owned Zoox has officially opened its robotaxi service to the public in Las Vegas, offering free rides on and around the Strip while awaiting regulatory approval to charge fares. The move positions Zoox against established rivals like Alphabet’s Waymo and Tesla in the race for autonomous ride-hailing dominance.

Key Details

  • Vehicle design: Unlike competitors, Zoox uses a purpose-built, fully autonomous pod with no steering wheel or pedals. Passengers sit facing each other, resembling a futuristic shuttle.

  • Free service: Current rides are complimentary to help familiarize the public and gather feedback.

  • Fleet: About 50 vehicles are in Zoox’s Las Vegas fleet, with thousands of riders each week during its casino-based test loop.

  • Expansion: Zoox plans to extend services soon to San Francisco, with future rollouts in Miami, Austin, Atlanta, and Los Angeles.

Industry Context

  • Waymo already runs paid robotaxi services in multiple U.S. cities with a fleet of around 2,000 vehicles.

  • Tesla operates a small number of robotaxis with safety drivers in Austin and has begun a Bay Area ride-hailing service.

  • Uber is also entering the space, integrating autonomous vehicles into its network through partnerships.

  • Commercializing robotaxis has been tough, with regulatory scrutiny, protests, and high costs forcing many startups to exit the field. Amazon acquired Zoox for $1.3 billion in 2020, betting on the long-term payoff.

Outlook

Zoox expects to begin charging fares within months once it secures regulatory approval. With its unique design and Amazon’s backing, Zoox could emerge as a serious challenger in the still-nascent robotaxi market, provided it scales safely and wins public trust.