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Tesla Launches Ride-Hailing Service in San Francisco Bay Area
ByAinvest
Thursday, Jul 31, 2025 4:02 am ET1min read
Tesla's ride-hailing service, available through the Tesla Robotaxi app, has officially launched in the San Francisco Bay Area, expanding its coverage to a broad area from the Golden Gate Bridge to San Jose. The service was announced by CEO Elon Musk on July 31st, marking a significant milestone for the company's autonomous driving technology.
Tesla Inc. (TSLA) has officially launched its Robotaxi service in the San Francisco Bay Area, marking a significant expansion of its autonomous ride-hailing technology. The service, accessible through the Tesla Robotaxi app, now covers a substantial area from the Golden Gate Bridge to San Jose, spanning approximately 75 miles [1].The expansion comes a month after Tesla's Robotaxi service was first launched in Austin, Texas. The service in the Bay Area is different from the initial offering in Austin, as it includes a safety driver in the vehicle to comply with California Public Utilities Commission (CPUC) regulations. In Texas, the service operates without a safety driver, but with a safety operator in the front passenger seat [2].
The Bay Area Robotaxi service covers a larger area than Waymo's service, which includes San Francisco proper, Daly City, and Burlingame, but does not cover a continuous section of Silicon Valley. Tesla's service in the Bay Area spans areas from the north of San Francisco, Berkeley, Oakland, Fremont, and down to San Jose [2].
This expansion aligns with CEO Elon Musk's target of serving over half the population of the U.S. with Tesla Robotaxis by the end of 2025, as announced during the company's earnings call [1]. The autonomous driving market in the U.S. is expected to be worth over $200 billion by 2030 and generate up to $400 billion in revenue by 2035, according to Morgan Stanley's report [1].
However, Tesla may face increased scrutiny from the National Highway Traffic Safety Administration (NHTSA) due to calls for tougher oversight on autonomous driving in the U.S. [1].
References:
[1] https://www.benzinga.com/markets/tech/25/07/46747282/teslas-robotaxi-is-now-live-in-the-san-francisco-bay-area-serves-a-larger-area-compared-to-waymo
[2] https://driveteslacanada.ca/news/tesla-expands-robotaxi-service-to-the-bay-area-with-safety-drivers/
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