Tesla (TSLA, Financials) the electric vehicle maker also developing autonomous driving, energy storage and software services, has started Robotaxi service in Miami, expanding its ride-hailing effort beyond Austin, Texas.
The service began Sunday and is limited to parts of western and central Miami. It does not include downtown Miami or Miami Beach for now.
Tesla is using Model Y vehicles running on its Full Self-Driving software. The Miami launch follows the company's first commercial Robotaxi rollout in Austin last month.
The move puts Tesla closer to Waymo, Alphabet's self-driving unit, which already operates in several U.S. cities, including parts of Miami.
For investors, the launch is another sign that Tesla wants to build a business beyond selling electric vehicles. The company also reported record second-quarter deliveries of 480,126 vehicles, giving the expansion more attention.
The key question now is whether Tesla can widen the service area, bring in more riders and prove the business can work safely at scale.
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