Texas Lawmakers Urge Elon Musk's Tesla To Delay June 22 Robotaxi Launch Till September: Report

A group of Texas lawmakers has urged Tesla Inc. TSLA to delay its Robotaxi launch in Austin, scheduled for June 22.

What Happened: In a letter addressed to Elon Musk's electric vehicle giant, lawmakers state that the state's legislature updated its regulations on autonomous vehicles in 2017, which will take effect in September of this year, KXAN reported on Wednesday.

"As members of the Austin delegation in the Texas Senate and Texas House of Representatives, we are formally requesting that Tesla delay autonomous robotaxi operations until the new law takes effect on September 1, 2025," the lawmakers said in the letter.

New regulations state that all AV operators transporting passengers or property "must receive prior authorization from the Department of Motor Vehicles before operating on public streets without a human driver," the report suggests.

Regulations suggest that compliance requires all AVs must obey state traffic laws, have registered and titled insurance under Texas law, have recording devices and "a minimal risk condition if the automated driving system is rendered inoperable."

Additionally, AV operators are also required to have a first responder interaction plan in place, highlighting how first responders interact with AVs.

Why It Matters: The news comes in as Tesla was officially named as an AV operator in Austin, ahead of June 22's Robotaxi launch, which Musk says will have over 10 Tesla Model Ys initially.

The automaker also recently received a major boost for its Cybercab ambitions as the NHTSA announced it would be updating its regulatory framework to provide exemptions to AVs from safety standards.

However, questions are being raised about the company's FSD tech, a crucial element in the Robotaxi plan, after incidents involving Tesla vehicles driving in the wrong lane, as well as getting struck by a train after getting stuck on railroad tracks, while in self-driving mode.

Robotaxis are steadily growing in the U.S., as Alphabet Inc.'s GOOGL GOOG Waymo announced it will be further expanding its presence in California.

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