Elon Musk revealed on the social media platform X last night why Tesla could not call its autonomous ride-hailing service “Robotaxi” upon its launch in California as it did in Austin, Texas.
Tesla has been operating Robotaxi ride-hailing services in the United States for less than two months, as it launched its first rides in Austin on June 22. Last month, Tesla officially launched rides in California’s Bay Area, but it only referred to it as a “ride-hailing service.”
Invites to our Bay Area ride-hailing service are going out now pic.twitter.com/4Ql4XfSLvC
— Tesla AI (@Tesla_AI) July 31, 2025
Some outlets reported that it was not the “Robotaxi” fleet, but in reality, Tesla did not have the ability to use the terms “taxi” or “cab” in the state, Musk revealed on Wednesday night.
He said:
We are working as quickly as possible to get 100+ Teslas operating for autonomous ride-hailing (can’t use the word “taxi” or “cab” in California) in the Bay Area and allow anyone to request a ride
— Elon Musk (@elonmusk) August 6, 2025
On the heels of announcing that Tesla was planning to expand its fleet for the service to 100 vehicles, Musk revealed that California does not allow automakers operating pilot programs of driverless services to use the terms “cab” or “taxi.”
It is a regulation enacted by the California Public Utilities Commission (CPUC), which does not allow those terms to be used for vehicles that are not fully autonomous.
The CPUC did not immediately respond to a request for comment regarding the terminology. If a representative clears up the terminology, we will add it to this article.
Based on filings from other companies on the CPUC website, it appears that the terms “robotaxi” or even “robocab” are set aside for cars that are completely driverless and not under any direct supervision.
Tesla is using a Safety Monitor in its vehicles in Austin in the passenger seat. In California, this monitor is behind the steering wheel. In order for Tesla to call it a Robotaxi, it seems the in-car monitor will have to be removed altogether.
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