A self-driving Tesla involved in an Uber ride collided with an SUV at an intersection in suburban Las Vegas in April, raising safety concerns over the increasing use of “robotaxis” in U.S. cities.
The incident has drawn attention to the regulatory gap surrounding autonomous vehicles, as Tesla’s self-driving software, unlike fully autonomous systems, requires driver oversight.
CEO Elon Musk is set to unveil plans for a Tesla-operated robotaxi network, but a growing number of ride-hail drivers are already using Tesla’s Full Self-Driving (FSD) software in the ride-hailing sector.
Tesla’s Full Self-Driving software, which costs $99 a month, is being widely adopted by Uber drivers to reduce stress and extend working hours, according to several users. Despite its benefits, some drivers report software limitations such as sudden acceleration or braking, which makes them hesitant to rely on it in complex traffic situations.
Federal safety officials are investigating the Las Vegas crash, which Reuters first reported, as the incident has raised questions about the broader use of Tesla’s autonomous features in commercial ride-hailing.
During the Las Vegas incident, the Tesla on FSD mode failed to slow down at the intersection, resulting in a collision with an SUV that emerged from a blind spot. Although the Tesla driver took control at the last moment, the accident could not be avoided. The other driver, who was taken to the hospital, was found at fault for not yielding the right of way.
Tesla, Uber, and Lyft have not issued specific comments regarding the incident, but Uber reminded drivers of their responsibility to maintain safe driving practices.
While autonomous vehicle operators like Waymo and Cruise are subject to stringent regulations, Tesla’s FSD software is treated differently, as drivers are expected to remain in control of the vehicle at all times.
This regulatory ambiguity is worrying analysts, who argue that there should be more scrutiny on the use of Tesla’s FSD in commercial settings. Despite concerns, ride-hailing drivers across the U.S. continue to use the technology, with an estimated 30-40% of Tesla drivers in the sector regularly engaging the system.
The U.S. National Highway Traffic Safety Administration (NHTSA) is aware of the Las Vegas crash and has requested more information from Tesla. However, state and federal authorities do not currently regulate the use of FSD in ride-hailing services.
Analysts warn that ride-hailing platforms like Uber and Lyft should take proactive measures to regulate or restrict the use of autonomous technology in commercial settings to prevent potential accidents.
Although the Tesla FSD system is marketed as providing near-autonomous driving, many drivers remain cautious, only using it in less demanding traffic situations. Some, however, look forward to a future where Tesla’s technology can handle all aspects of driving without intervention, allowing owners to deploy their vehicles as fully autonomous robotaxis when not in use.