Tesla wants to bring its robotaxis to San Francisco. Here is what’s standing in the way.

Tesla is preparing to launch a limited version of its robotaxi service in San Francisco, following an initial rollout in Austin, Texas. The company plans to invite Tesla owners to test the service, which currently operates with a human safety driver behind the wheel. However, Tesla faces significant regulatory hurdles in California. The California Department of Motor Vehicles (DMV) and the California Public Utilities Commission (CPUC) regulate autonomous vehicle testing and commercial ride services, respectively. While Tesla holds a permit for autonomous vehicle testing with a human operator, it lacks the necessary permits for driverless testing or deployment, as well as the CPUC authorization required to offer autonomous passenger transportation, even with a safety driver present. Deploying robotaxis under these conditions would violate state regulations. This regulatory challenge is compounded by ongoing legal issues Tesla faces in California, including a DMV effort to block vehicle sales over disputed self-driving claims and a lawsuit related to fatalities involving Tesla’s Autopilot system. Tesla’s current robotaxi service in Austin remains