Tesla faces pressure to expand Cybercab after mixed Austin debut

Tesla’s Cybercab has been operating in Austin for about a month, and the company has expanded the number of vehicles approved for commercial use in Texas. Even so, early passenger feedback has been uneven, with complaints about long waits, confusing pickups and dropoffs, and occasional technical problems. The rollout matters for Tesla because the company is trying to grow its robotaxi business as its main car sales face stronger competition, especially from Chinese EV makers. Investors are watching whether the Cybercab and Tesla’s broader autonomous driving plans can help improve the company’s growth story. Expansion beyond Austin could be difficult. Tesla is dealing with regulatory scrutiny from the National Highway Traffic Safety Administration, and some first responders have raised concerns about how to handle vehicles with no steering wheel or pedals. At the same time, competitors such as Waymo are already operating in more cities and continue to scale their autonomous ridehailing services.