Tesla shares surge 3.56% as automaker begins unsupervised driverless robotaxi testing in Austin.

Tesla shares surged 3.56% in pre-market trading on December 16, 2025, as the automaker began testing fully driverless robotaxis in Austin without safety monitors, marking a pivotal step toward commercial deployment of its Full Self-Driving (FSD) technology.

The move intensified investor optimism about Tesla’s autonomous future, pushing its stock higher amid competitive pressure on Uber and Lyft, both of which fell sharply. Elon Musk’s announcement of unsupervised testing underscores Tesla’s aggressive push to dominate the autonomous vehicle market, with analysts like Dan Ives predicting the company could capture 70% of the global autonomous driving sector within a decade.

Regulatory scrutiny remains a hurdle, as the NHTSA investigates past test incidents, but the strategic shift to camera-only systems—unlike Waymo’s lidar reliance—positions Tesla to scale cost-effectively. Market analysts view the Austin trials as a critical inflection point, with potential long-term revenue streams from robotaxi fleets reshaping Tesla’s growth trajectory amid slowing EV sales.

Tesla’s ability to innovate within cost constraints and outmaneuver competitors is central to its future valuation. With FSD testing now in full swing, the company is likely to face both rapid adoption and regulatory headwinds as it seeks to redefine the transportation landscape.