Tesla has expanded its robotaxi service area in Austin, Texas, just three weeks after its initial launch, significantly enlarging its operational footprint while raising the flat fare from $4.20 to $6.90 per ride. The company made the changes public late Sunday through an updated service map in its mobile app.
The new geofence now covers downtown Austin, the University of Texas campus, and areas north of downtown. This expansion roughly doubles the original coverage in South Austin, making Tesla’s service area appear larger than that of rival Waymo, which also operates autonomous vehicles in the city.
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Tesla debuted the service on June 22 using a fleet of 10 to 20 Model Y vehicles fitted with its Full Self-Driving (FSD) software. The robotaxis are monitored by Tesla employees who can take control if necessary. Riders can summon a ride using the Tesla app, which now also offers destination editing and walking directions to and from pickup and drop-off points. The service operates daily from early morning until midnight.
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The fare increase to $6.90 per ride represents a 64% jump from the original $4.20 flat rate. While the pricing retains Tesla CEO Elon Musk’s characteristic humor, it also reflects the expansion and operational adjustments. Tesla has not indicated whether the fleet size will increase alongside the service area.
Looking ahead, Tesla plans to extend its robotaxi operations to the Bay Area within two to three months, pending regulatory approval. The Arizona Department of Transportation also confirmed that Tesla began the certification process on June 26 for both supervised and fully autonomous vehicle operations in that state, with a decision expected by the end of July.