Tesla Robotaxi takes a big step toward Elon Musk's ultimate vision
Tesla Robotaxi has been on a long road, and after surpassing 1.7 million paid miles traveled earlier this year, Tesla sees a much smoother road ahead for its tentpole technology.
Tesla bulls point to autonomous driving technology as the missing piece that will unlock the company's true valuation. Wall Street analysts like Deutsche Bank say investors should focus "more attention… towards the company's robotaxi expansion efforts," and less toward its auto business, which it expects to underperform in 2026.
Tesla Robotaxi's social media account, in the first week of June 2026, said that unsupervised Robotaxis were now available throughout the geofenced Austin metro.
Previously, customers expecting a private, autonomous ride-sharing experience were left disappointed by the presence of a human in the front seat, who was legally required to be there to take over should the autonomous vehicle need help.
At first, the human safety monitor was placed in the front seat, almost completely defeating the purpose of a supposedly autonomous experience. Eventually, the safety monitor was moved to the passenger seat.
Still not satisfied with the aesthetic of a human interventionist, Tesla eventually moved the human out of the ride-share vehicle, but Tesla Robotaxis in Austin were filmed with a trail car behind them, with a human performing the same function, only remotely.
Now those days appear to be behind the company, but Tesla Robotaxi still has more miles to travel before it is truly fully autonomous.
Former Tesla AI trainers reveal skepticism about FSD viability
Reuters recently interviewed nine former Tesla "data labelers" from the company's Utah office, where hundreds of employees scrutinize and label video from the eight external cameras on each Tesla.
The workers train Tesla's AI by labeling traffic incidents as good or bad, identifying items the computer can't recognize, and pinpointing potential trouble spots where the tech needs improvement.
But the problem, according to them, is that FSD is still struggling to execute basic maneuvers, like stopping at a railroad crossing or for school buses, or traveling in the left lane. And despite these consistent issues, Tesla is still publicly touting the tech's prowess while doing big public displays like the Robotaxi launch in Austin last summer.
Ensuring both platforms are safe
While FSD and Robotaxi aren't the same technology, according to Tesla, there is apparently a lot of overlap in the work employees are doing to ensure both platforms are safe.
"Inside Tesla, as these events (Robotaxi rollout) approached, staffers worked long hours mapping routes and training the software on specific hazards to make the company's self-driving technology appear more capable than it really is," Reuters reported, citing four former employees.
But the problem is that those fixes the human workers were doing are "impossible to deploy on a broad scale," like the scale Musk has envisioned, where millions of autonomous Teslas are on the road.
More Tesla FSD news
- Tesla FSD makes dangerous mistake in unfamiliar territory
- Elon Musk's new Tesla update is a joy for customers and investors
- Tesla FSD hits major speedbump with EU regulators
When Waymo goes to a new location, it spends months, or even longer, mapping local roads and hazards to ensure its autonomous vehicles can handle as many real-world situations as possible. And even then, Waymo often gets it wrong in much the same way Tesla FSD/Robotaxi does.
However, Musk has said Tesla is taking an easier route. Instead of doing the labor-intensive work of mapping, Tesla relies solely on cameras and AI to navigate its surroundings.
But according to the Reuters report, humans play a major role in training AI that doesn't know what it is looking at all the time. And even after the AI is trained, it is still prone to mistakes.
Tesla increases human input in FSD AI push
The Utah office employs hundreds of data labelers whom the company needs to train its AI.
In the lead-up to Robotaxi's official public launch last June, despite Musk's insistence on "generalized AI solutions" that didn't require "high-precision maps of a locality," Tesla workers annotated the extensive filming of the limited robotaxi zone to map the area because, apparently, that is the most surefire way to avoid any hiccups in Robotaxi's highly anticipated debut.
In the lead-up to the launch, the staff at the Utah office doubled to about 300 workers, according to Reuters, as they worked primarily on projects "to make the carefully controlled Austin test go smoothly."
But with each update, two employees said that while some driving behaviors improved, others worsened. There was no consistent improvement in the tech, according to one former employee.
Eventually, the human touch powering the AI would be unable, as Tesla rolled out Robotaxi with two sets of safety monitors: one in the vehicle, and one monitoring remotely.
Might take years to scale up
Based on their experiences, four of the former employees said it will take years for Robotaxi to scale up safely. That timeline runs counter to what Musk has promised in the past, like when he predicted that Robotaxi would expand to serve half of the U.S. population by the end of 2025.
Of the 25 vehicles Robotaxi Tracker is currently logging, only three still have human safety monitors in the vehicle, but many have human teleoperators driving them remotely.
Those human teleoperators have come under increased scrutiny, leading Senator Edward Markey (D-MA) to release a report taking AV companies to task for faking their true autonomy.
"Every autonomous-vehicle company refused to disclose how often their AVs require assistance from [remote assistants] - hiding key information from the public about their AV's true level of autonomy," Markey wrote in his report. "This information is critical for lawmakers, regulators, and the public to understand the potential safety risks with AVs."
Related: Tesla's plans for Robotaxi dominance hit major snag in Austin
The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
This story was originally published June 6, 2026 at 11:33 AM.