Elon Musk, CEO of Tesla, declared that the company plans to launch a driverless taxi service in California and Texas by 2025. During a recent earnings presentation, Musk expressed confidence, stating, "We believe that next year we will have Tesla vehicles operating without a driver." Currently, Tesla offers a transport service for employees in the San Francisco Bay Area.
However, the California Department of Motor Vehicles (DMV) reported that Tesla has neither applied for nor received a permit for driverless testing on public roads or for its Full Self Driving service. Musk acknowledged potential obstacles in obtaining regulatory approval in California, stating, "It's not something we control entirely," but added, "I would be surprised if we do not get approval next year."
Last week, the National Highway Traffic Safety Administration launched a federal investigation into Tesla, examining whether its partial autonomous driving system is defective, following four accidents, including one fatality, involving its vehicles. The investigation will assess the system's ability to detect and respond to fog and low-visibility conditions.
Despite these challenges, Tesla aims to implement its driverless technology in Europe and China by the first quarter of 2025, pending necessary regulatory approvals.
These announcements follow Tesla's third-quarter earnings report, which showed a net profit of $2.167 billion, a 17% increase from the previous year. The company's operating margin for the period was 10.8%, down 3.2 percentage points from the same quarter in 2023. Revenue rose to $25.182 billion, an 8% increase year-over-year, with automotive sales generating $20.016 billion, a 2% increase compared to the same period last year.
The adjusted EBITDA for the third quarter was $4.665 billion, a 24% increase from $3.758 billion in the same quarter last year.