Tesla's Robotaxi Under Scrutiny by US Safety Regulator

The US safety regulator, NHTSA, has sought to test Tesla's recently launched driverless-taxi service, Full Self-Driving, and requested information on the size of the fleet, public launch plans, and use of remote operators. The agency is investigating incidents where the robotaxis appeared to violate traffic laws during its first day offering paid rides. NHTSA opened an investigation into Tesla's FSD in October after multiple crashes, including one fatal incident in November 2023.

The National Highway Traffic Safety Administration (NHTSA) has requested a ride in Tesla's recently launched driverless-taxi service, Full Self-Driving (FSD), as part of its ongoing investigation into the technology. The agency's interest in Tesla's robotaxis comes after incidents where the vehicles appeared to violate traffic laws during their first day offering paid rides [1].

On July 1, the NHTSA wrote to Tesla to coordinate a visit to Austin for a test ride and to gather information about the size of Tesla's robotaxi fleet, plans for a public launch, and the use of remote operators [1]. The agency has not specified whether staff actually rode in Tesla's robotaxis last month. However, it received Tesla's response to the July 1 email last week, with the information subject to a request for confidential treatment [1].

Tesla's robotaxi service, which launched in June with a small group of handpicked users, has been closely watched by investors and regulators alike. While CEO Elon Musk sees this as a significant new revenue stream, the service initially faced criticism for its safety concerns [2].

The NHTSA opened its investigation into Tesla's FSD in October 2024 following multiple crashes, including a fatality in November 2023. In this incident, a Tesla Model Y engaged in FSD struck a 71-year-old pedestrian on an Arizona interstate [1].

In addition to the NHTSA's investigation, Tesla is also facing legal trouble from its shareholders. A class-action lawsuit filed in Texas accuses the company of misrepresenting the capabilities of its FSD and robotaxi technology [2]. The lawsuit points to a $329 million jury verdict in a Florida case where a Tesla on Autopilot mode was involved in a fatal crash [2].

Tesla is also developing a new version of its FSD system with 10 times more parameters and better video compression, aiming to improve the technology's ability to handle complex driving environments [3]. The update comes as Tesla faces growing scrutiny over its self-driving tech, including a recent $243 million verdict in a fatal Autopilot crash [3].

Despite the controversy, Tesla's stock rose 2% following Musk's announcement of the new FSD model. However, no official timeline or technical breakdown for the new model has been provided yet [3].

References:
[1] https://www.bloomberg.com/news/articles/2025-08-07/us-auto-safety-regulator-sought-tesla-robotaxi-ride-last-month
[2] https://finance.yahoo.com/news/shareholders-sue-tesla-elon-musk-153539758.html
[3] https://www.notebookcheck.net/Tesla-s-next-FSD-model-to-be-10x-larger-as-legal-trouble-grows.1081564.0.html