Tesla Aims to Sell Cybercab Robotaxis by End of 2026 Despite Federal Probe

Tesla aims to begin selling Cybercab robotaxis to the public by the end of 2026, vehicle engineering vice president Lars Moravy told analysts on Wednesday. Moravy spoke after Tesla reported third-quarter results. The sales target comes despite a federal investigation into the vehicles, which lack the manual controls that federal regulations generally require.

Moravy said Tesla will increasingly deliver purpose-built autonomous vehicles to customers, beginning with Cybercabs. Moravy said Tesla would begin with small volumes this year and expand after learning about customer deliveries, ownership and autonomous fleet management. The gold-colored Cybercab seats two people and has butterfly doors. The self-driving vehicle has no steering wheel, pedals or mirrors. Cybercab is a central investment in CEO Elon Musk's ambition to transform Tesla from an electric-vehicle manufacturer into an AI and robotics company.

Tesla began charging for rides in a small Cybercab fleet in Austin, Texas, early last month, after years of unfulfilled promises by Musk. The launch attracted enthusiastic fans and social media influencers. The National Highway Traffic Safety Administration (NHTSA) announced an investigation only hours later into how Tesla established that Cybercabs meet federal vehicle-safety requirements.

Federal regulations were developed decades ago for vehicles driven by people. The regulations mandate manual controls and restrict commercial use of vehicles built without those controls. Most other countries require regulatory approval before manufacturers launch new vehicle models and technologies. However, the United States allows automakers to put vehicles on public roads through self-certification of compliance with federal standards.

NHTSA declined to comment. NHTSA said last month that the agency was examining the basis for Tesla's Cybercab certification and how Tesla decided certain standards did not apply. Tesla has until October 30 to answer the agency. NHTSA has proposed revisions to federal safety requirements that would permit autonomous vehicles built without human controls. NHTSA has said current requirements remain binding until those revisions are completed.

Tesla AI chief Ashok Elluswamy said the company was working to secure all regulatory approvals needed to deploy Cybercabs as quickly as production allows. Elluswamy said manufacturing expansion would otherwise present little difficulty and described Cybercab as among the easiest Tesla products to scale. Elluswamy said Tesla plans to extend Cybercab service to Dallas next month.

Tesla's robotaxi network includes Cybercabs and autonomous Model Ys, some of which carry human safety monitors. Tesla intends eventually to make Cybercab the principal driverless model in an expanded robotaxi network. However, Musk said Cybercabs will primarily remain Tesla-owned vehicles for Tesla's ride-hailing service.