Tesla’s Cybercab Officially Launches Today. It’s Already Under Investigation

Tesla's Cybercab, a two-seater vehicle without a steering wheel or brake pedals, will begin picking up passengers in Austin, Texas, this evening. However, the vehicle is already under investigation by the US federal government, specifically the National Highway Traffic Safety Administration (NHTSA), to determine if it meets federal safety standards.

The investigation occurs just hours after Tesla invited hundreds of fans to an event in downtown Austin to ride in the driverless Cybercabs. The company plans to deploy the vehicles on its Robotaxi ride-hail network, which is currently operational in several Texas and Florida cities. The NHTSA is updating vehicle standards to facilitate the deployment of driverless cars on public roads, adjusting eight rules, including those that require parts driverless cars do not need, such as brake pedals, windshield wipers, and rearview mirrors.

However, for now, older standards remain in place. Tesla claims its vehicles comply with all existing safety standards, hence not seeking an exemption from federal rules. The investigation, known as an Audit Query, will review the data and process Tesla used to make this determination, according to a government filing. NHTSA Administrator Jonathan Morrison stated that the agency "fully supports the safe development and deployment of automated vehicles" but emphasized the necessity of adhering to all laws as the federal regulator.

Tesla has not yet commented on the matter. Such federal investigations can have significant implications, with the NHTSA having the power to mandate changes to an automaker's vehicle or process, or even initiate enforcement actions, including civil penalties. In 2023, Volvo Group North America paid $130 million in penalties after an NHTSA investigation into its recall process, agreeing to three years of oversight by a third-party auditor.

The Cybercabs represent Tesla's vision of a future where the company is not seen as an automaker but as a robotics and autonomous vehicle company. Currently, 45 Cybercabs are part of Tesla's fleet in Texas, with the company aiming to deploy millions annually.