Tesla received a ride-hailing permit from Arizona regulators this week, paving the way for the automaker to begin operating a robotaxi service in the state.
A spokesperson for the Arizona Department of Transportation (ADOT) told TechCrunch that Tesla applied for a transportation network company (TNC) permit on November 13th. ADOT says Tesla has met the requirements to operate as a TNC and was granted permission as of Nov. 17.
The permit is the final regulatory step to launch robotaxi services in Arizona, which has become a center for testing and development of self-driving vehicle technology. Waymo, the Alphabet-owned self-driving company and the leading robotaxi provider in the United States, has been operating its service in the Phoenix area since 2018. Currently, Waymo’s robotaxis cover a 315 square mile service area in the Phoenix metropolitan area.
Under Arizona law, companies can apply to test autonomous vehicles with or without a driver and follow a self-certification process. However, this would not allow the company to operate a robotaxi service that collects ride fees. Companies wishing to operate human- or robot-driven ride-hailing services must apply for a permit from a transportation network company.
In June, Tesla contacted the Arizona Department of Transportation regarding its self-driving car ride-sharing service and began the certification process. The company had expressed interest in operating within the Phoenix metro area, a spokesperson told TechCrunch at the time.
Tesla then applied to test/operate self-driving cars both with and without a driver. Tesla went through Arizona’s self-certification process in September to test self-driving cars, an ADOT spokesperson confirmed.
Arizona is one of several states that Tesla CEO Elon Musk has targeted for the company’s robotaxi service.
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Tesla launched a limited robotaxi service in South Austin in June. Although the service is growing, the company still has a human safety operator in the passenger seat.
Tesla has also launched a pseudo-ride-hailing service in California, but it does not have the proper permits to operate a commercial robotaxi service in the state. Instead, the company, which is licensed to operate a charter service, has employees driving Tesla Model Y vehicles equipped with advanced driver assistance systems known as fully autonomous and supervised vehicles to pick up passengers.
