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Tesla offered Cybercab rides in Texas after its Robotaxi license expired, investigation finds

Because Tesla submitted the renewal after the deadline, it will have to pay $11,250 to renew the license.

A Cybercab.

Photo Credit: Tesla

Tesla's Robotaxi service in Texas is drawing scrutiny after a local investigation found the company was still offering Cybercab rides through its app even though the state license tied to that service had expired in August.

That matters because the missed renewal relates to basic consumer protections that riders may assume are already in place when they book an app-based trip.

Here's what to know

The Texas Department of Licensing and Regulation told KXAN that Tesla's Transportation Network Company license expired in August. Even so, KXAN investigators reported they could still book a ride in a Cybercab through the Robotaxi app, and the outlet said Tesla submitted a renewal application.

In Texas, the Transportation Network Company designation covers ride services that connect passengers through an app, including companies such as Uber and Lyft. Tesla's Robotaxi service falls into that category in the state.

The license lets the state check insurance coverage, require records on rides and drivers, and ensure wheelchair-accessible options are offered.

What's being done?

Because Tesla submitted the renewal after the deadline, it will have to pay $11,250 to renew the license. The Texas Department of Licensing and Regulation is reviewing the application Tesla filed.

As the state reviews Tesla's late renewal, a Texas Department of Licensing and Regulation spokesperson said, "TDLR sends renewal notices … by email and by postcard 60 days before a license expires. Late fees apply to renewals submitted after the expiration date."

Tesla had not responded to KXAN's requests for comment.

Where can I learn more?

These stories add context as questions grow around Tesla's robotaxi operations and the company's wider regulatory challenges. They cover federal scrutiny of robotaxi safety, Tesla's ride-hailing ambitions, and other legal and business disputes involving the company.

• U.S. regulators demanded answers about Tesla's robotaxi rollout after safety concerns around the service.

• In France, authorities ordered Tesla's subsidiary to halt deceptive sales tactics tied to marketing claims.

• A major U.S. law is adding pressure as Tesla faces its toughest challenge yet on carbon-credit economics.

• Contractors say Tesla's payment practices are putting small firms out of business during subcontracting disputes.

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