Tesla has obtained a ride-hailing permit from Arizona regulators, allowing the company to begin operating a robotaxi service in the state. The Arizona Department of Transportation (ADOT) said Tesla applied for a Transportation Network Company (TNC) permit on November 13 and was approved on November 17 after meeting the state’s operational requirements.
The authorization represents the final regulatory step needed for Tesla to charge for autonomous rides in Arizona. While the state allows companies to self-certify testing of autonomous vehicles with or without a safety driver, operating a commercial ride-hailing service requires a TNC permit.
Arizona has become a center for autonomous vehicle development, with Waymo providing robotaxi services in the Phoenix area since 2018 and currently covering more than 300 square miles.
ADOT said Tesla initiated discussions in June regarding autonomous ride-hailing operations in the Phoenix metro area and later applied for permits covering vehicle testing and deployment with and without a driver. The company completed the state’s self-certification process for autonomous testing in September.
Arizona is one of several states Tesla is targeting as it works toward broader robotaxi deployment. In June, the company introduced a limited pilot service in South Austin, though vehicles continue to operate with a safety operator in the passenger seat.
Tesla has also rolled out a ride service in California that uses employees driving Model Y vehicles equipped with its Full Self-Driving Supervised system. That service operates under a charter permit rather than a commercial robotaxi authorization.