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Investing.com -- Tesla (NASDAQ:TSLA) has launched its ride-hailing service in the San Francisco Bay Area, CEO Elon Musk announced on Thursday.
"You can now ride-hail a Tesla in the SF Bay Area, in addition to Austin," Musk stated in a post on X. The CEO did not provide additional details about the service or specify whether it uses self-driving vehicles.
The expansion comes amid regulatory challenges for Tesla as it shifts focus from electric vehicle sales to autonomous driving technology. Last week, the California Public Utilities Commission (CPUC) stated that Tesla is not permitted to "test or transport the public" with or without a driver in a self-driving vehicle.
These regulatory restrictions could potentially delay Musk’s ambitious goal of deploying robotaxis across half of the United States by the end of 2025.
The new ride-hailing service represents part of Tesla’s strategy to address cooling demand in the electric vehicle market by expanding into new transportation services.
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