Regulators launch inquiry into Tesla's steering-wheel-free robotaxis following their debut

The National Highway Traffic Safety Administration has initiated an investigation into Tesla's newly launched Cybercabs, which operate without steering wheels or pedals. The agency will audit Tesla's self-certification process to ensure compliance with federal safety standards. Tesla's stock dropped almost 6% following the news.
The probe follows the Cybercab's debut in Austin, where Musk hosted a launch event for invitees. The NHTSA's audit will scrutinize the technical data Tesla used to certify the vehicles, which lack manual controls for passengers. Tesla's stock dropped nearly 6% on Friday, erasing the previous day's gains.
This inquiry is not the first for steering-wheel-free vehicles; rival Zoox faced a similar review three years ago before gaining approval. Tesla's broader self-driving software is already under multiple federal investigations, including probes into crashes in low visibility and failures to report incidents promptly. The company's existing robotaxi network, using conventional cars, has operated in Austin for over a year and expanded to five other cities.
The inquiry could affect early adopters and urban commuters who rely on autonomous transport, as regulatory scrutiny may delay the promised national rollout. If the audit finds non-compliance, Tesla may face forced modifications or operational restrictions, potentially impacting its stock valuation and investor confidence. Conversely, a clean review could bolster public trust in driverless technology, though the ongoing probes into crash safety suggest broader societal concerns about liability and pedestrian protection remain unresolved.