Tesla has received a permit to run a semi-autonomous ride-hailing service in Arizona, according to the state’s Department of Transportation. The company applied for the Transportation Network Company permit on Nov. 13 and received approval on Nov. 17. The permit gives Tesla permission to charge Arizona passengers who hail a ride powered by Tesla’s Full Self-Driving Supervised system, which requires a human supervisor. But other permits are required before the service can actually begin taking customers, CNBC reports.
Tesla recently launched Robotaxi pilots in Austin, Texas and the San Francisco Bay Area. In Austin, Tesla uses a passenger seat supervisor with access to a manual override, while California rules require someone to be in the driver’s seat. It’s unclear where a supervisor will need to sit in Arizona.
The EV maker is aiming to expand Robotaxi to up to 10 metro areas by the end of 2026. Each market requires new mapping, infrastructure, and service operations. Eventually, Tesla hopes to eliminate human supervisors from the equation, thus lowering operating costs (and, potentially, the cost of a ride).

