Tesla urged to delay robotaxi launch by Texas lawmakers

A group of Democratic lawmakers from the Austin area has urged Tesla (NASDAQ:TSLA) to delay its planned robotaxi launch in the city until September, when a new Texas autonomous vehicle law is set to take effect.

In a letter sent Wednesday, the lawmakers argued the delay would support public safety and help build trust. Tesla CEO Elon Musk had said the launch could “tentatively” happen this Sunday. If Tesla proceeds, lawmakers asked for detailed plans on how the company would comply with the incoming legislation.

The new law, which still awaits the governor’s signature, would require permits for autonomous vehicle operations and grant the state authority to revoke them if safety is compromised. It also mandates emergency response protocols.

Musk announced in January that Tesla would start offering “autonomous ride-hailing for money in Austin, in June.” Details remain sparse, though the rollout may begin with 10–20 Model Y vehicles. Musk has said that the company will begin operating in “only the parts of Austin that we consider to be the safest.”

The rollout is under scrutiny from investors and analysts, as much of Tesla’s market valuation is tied to expectations for robotaxis and humanoid robots—technologies the company has yet to bring to market.

Tesla (NASDAQ:TSLA) closed at $322.05 on Wednesday, up 1.82%. However, shares have fallen 20% so far this year.