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Musk pushes regulatory limits with Tesla's Cybercab robotaxi service

Tesla said the 2-seat robotaxi is entering its fleet as regulators review whether about 1,000 vehicles meet federal safety standards.

  • On Thursday, the National Highway Traffic Safety Administration opened an audit of about 1,000 Cybercab vehicles to investigate whether Tesla's steering-wheel-free taxis comply with federal safety regulations following the Austin launch.
  • Federal rules require manual controls for road vehicles, but Tesla relied on self-certification to deploy the two-seater Cybercabs, which lack steering wheels, mirrors, or brake pedals.
  • Engineering professor Philip Koopman of Carnegie Mellon University warned Tesla may attempt to "flood the market" using creative interpretations of safety standards, noting the company historically "pushed boundaries on regulations."
  • Following news of the probe, Tesla stock fell more than 5 per cent to $357.38 in early Friday trading, reversing financial gains made just one day earlier.
  • To assess certification, the agency will "examine the process and technical data" Tesla used, though three former officials noted NHTSA does not always win these legal clashes.
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The Mighty 790 KFGO broke the news on Friday, September 4, 2026.
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