Elon Musk Initiates Key Change in Robotaxi Design, Delays Unveiling for Now

Tesla CEO Elon Musk on Monday signaled the automaker would take more time to unveil its robotaxi so it can incorporate an important design change to the front of the vehicle and "show off" some other things.

Musk did not disclose when the automaker would hold an event to launch its robotaxi. Bloomberg News reported last week that the event, originally set to be held on August, had been delayed to October.

"Requested what I think is an important design change to the front, and extra time allows us to show off a few other things," Musk said on X in a reply to a user post discussing the event.

A person familiar with the matter said on Friday the robotaxi event has been delayed, without elaborating further.

With the road to developing robotaxis and autonomous driving systems facing several engineering and regulatory hurdles, Wall Street analysts and Tesla investors have noted that a delay in the robotaxi launch would not be a surprise.

Musk had announced the August unveiling day after Reuters reported on April 5 that Tesla had canceled its long-promised inexpensive car and would continue developing self-driving robotaxis on the same small-vehicle platform.

The billionaire CEO has given minimal details about the robotaxi so far. He has only said that some vehicles would be owned and operated by Tesla, while others would be owned by individuals but rented out on Tesla's network.

Shares of Tesla jumped on Monday after Musk publicly endorsed Donald Trump in the US presidential race, fanning hopes that a potential Trump administration could make it easier for Tesla to secure regulatory approvals for robotaxis and autonomous driving systems.

Musk had said in 2022 Tesla expects to mass-produce a robotaxi with no steering wheel or pedal by 2024, after missing his targets for self-driving vehicles multiple times.

The Tesla stock was last up five percent in afternoon trading.

© Thomson Reuters 2024