Tesla is making waves in California, having just secured an important permit that nudges the company closer to offering its own ride-hailing service. This development is a significant one, as it allows Tesla to transport passengers, moving it into the same arena as big names like Uber, Lyft, and Waymo.
The California Public Utilities Commission has given Tesla the green light with a transportation charter-party carrier permit. This means Tesla can start ferrying its employees around in company-owned vehicles, but only on a prearranged basis for now. It’s a crucial step in Tesla’s strategy to diversify its revenue streams and make a mark in the ride-hailing sector.
Last month, Bloomberg highlighted Tesla’s permit application, noting the company’s ambitions in this space. While Elon Musk has hinted at plans to roll out driverless ride-hailing in Austin by June and expand to California by the end of the year, the details are still under wraps. It’s worth mentioning that this permit doesn’t yet cover autonomous vehicle operations, so there’s still a way to go before we see driverless Teslas picking up passengers.
Interestingly, the news of this permit approval gave Tesla’s shares a little boost, climbing 0.4% by the close of trading in New York. Musk has previously mentioned that Tesla is already providing transportation for its employees in the Bay Area, using a Tesla-developed app and safety drivers. However, the company hasn’t shared any further comments on this recent regulatory win.
As Tesla moves forward, it’ll be fascinating to see how they navigate the challenges of the ride-hailing industry and what innovations they bring to the table. Stay tuned as this story develops.
