Tesla CEO Elon Musk has officially announced that the company will begin delivering self-driving versions of the Model Y starting in June 2025. The initial rollout will take place in Austin, Texas, where a limited batch of 10 to 20 vehicles will be deployed in a supervised, geofenced environment.
This development marks a major leap forward in Tesla’s pursuit of full autonomy, distinguishing its approach from competitors by relying solely on AI and camera-based systems rather than LiDAR or other costly sensors.
The move is part of Tesla’s broader roadmap to scale its robotaxi service across multiple U.S. cities, including Los Angeles and San Francisco. In addition, the company plans to launch its purpose-built robotaxi, the CyberCab, in 2026 using a revolutionary “unboxed” vehicle production process.
On the financial front, the news of the self-driving Model Y has positively impacted Tesla stock, which jumped nearly 7% to close at $362.89. Market analysts have responded with confidence, as Wedbush raised Tesla’s price target from $350 to $500, citing strong momentum around autonomy.
Looking ahead, Musk claims Tesla aims to have hundreds of thousands of autonomous vehicles on the road by the end of 2026, making robotaxis a central part of the company’s long-term strategy.
