The San Francisco service will likely begin operating within a limited, geofenced area
July 11, 2025 at 13:50

- Tesla must obtain state permits to launch its robotaxi service in San Francisco.
- The California city’s steep streets and density will challenge autonomous tech.
- The Austin pilot is geofenced and uses safety drivers in every Tesla robotaxi.
Launching a robotaxi service in a major city has long been a benchmark for autonomous driving technology. Last month, Tesla took a step toward that goal by quietly rolling out a small-scale robotaxi program in Austin, Texas.
Although the service remains limited in scope and footage has shown autonomous Model Ys making some questionable moves, Elon Musk already has his sights set on expanding. His next target? The San Francisco Bay Area.
Read: Tesla’s Robotaxi Was Caught Making A Turn It Immediately Regretted
Musk made the announcement on X when asked about a potential expansion into San Francisco. According to the him, Tesla is “waiting on regulatory approvals,” but said the service will “probably [launch] in a month or two.”
In all likelihood, Tesla will adopt a similarly cautious approach in San Francisco as it did in Austin. Currently, the Austin pilot operates within a tightly geofenced area and every vehicle includes a human safety supervisor in the passenger seat. In a recent post on X, Musk said the service’s footprint in Austin will grow this weekend, though he didn’t say how much additional ground it will cover.

San Francisco is likely to prove a more challenging area for Tesla’s self-driving systems. The city is significantly more densely populated and has more challenging roads, largely due to its extreme topography and steep streets.
Stricter Regulations
Unlike Texas, where autonomous services face relatively few restrictions, California enforces tighter oversight. To operate in San Francisco, Tesla will need to secure approvals from both the California Department of Motor Vehicles and the California Public Utilities Commission, according to Reuters.
And with Waymo already running its own robotaxi service in the city for quite some time, Tesla will not only need to navigate regulation but also public perception and direct competition. Earning the trust of San Francisco riders may prove just as crucial as earning the trust of regulators.

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