Tesla has received a permit to operate a ride-hailing service in Texas, allowing it to compete with Uber and Lyft. The company has been conducting a limited pilot program in Austin with a fleet of Model Y vehicles, though it has faced scrutiny over incidents involving its autonomous driving technology. Despite challenges and setbacks, Elon Musk remains optimistic about expanding Tesla's autonomous ride-hailing services across the U.S. by 2025.

Tesla has initiated supervised testing of its Full Self-Driving (FSD) technology for ride-hailing services, with employees participating in trials in Austin and the Bay Area. This move marks a significant step in advancing Tesla's autonomous vehicle capabilities and could reshape the future of transportation.