Tesla has taken a step toward launching a transportation service in California by applying for a permit with the California Public Utilities Commission (CPUC).
The application, submitted in November 2024, is still under review.
The permit Tesla is seeking is different from the one held by ride-hailing companies like Uber and Lyft.
Instead of allowing independent drivers to use their own cars, Tesla’s permit would let the company operate its own fleet with employees as drivers.
Although Tesla has not applied for a permit specifically for a driverless ride-hailing service, securing this permit is a necessary requirement for participating in California’s Autonomous Vehicle Passenger Service program.
This suggests that Tesla may be preparing for a future driverless ride-hailing system.
The move comes as Tesla expands its ride-hailing plans. CEO Elon Musk previously announced that the company would launch a paid robotaxi service in Austin, Texas, by June 2025.
The service will use Tesla-owned vehicles powered by an advanced version of its Full Self-Driving software.
Tesla’s push into the ride-hailing market is notable, given its previous focus on moving operations to states with fewer regulations, like Texas.
However, its latest steps indicate that the company still sees potential in California’s market despite the regulatory challenges.
