Tesla has expanded its Robotaxi geofence service area in Austin, Texas, for the third time since June 22, 2025, increasing the coverage to approximately 80 square miles. The initial geofence was about 20 square miles, which was first expanded to 42 square miles on July 14, 2025. The latest expansion notably extends the service area farther south, more than quadrupling the original size within six weeks. This expansion has led to increased demand for the Robotaxi service, with rides covering distances of up to 18 miles north to south and lasting about an hour, costing roughly $20 per trip. Tesla's autonomous ride-hailing service is being compared to Waymo's service areas in Austin, with Tesla's geofence now doubling in size relative to Waymo's. Elon Musk described Tesla's Robotaxi as the "largest A.I. project on earth" and indicated plans to expand operations to Chicago, pending safety testing and licensing. Observers note the rapid pace of Tesla's Robotaxi service area growth and its potential scalability, especially given the proximity of Austin and San Antonio metropolitan areas, which together house nearly six million residents. Tesla is also reportedly improving parking intelligence for the Robotaxi fleet. The company is considering expanding the fleet to meet rising demand and may extend service invitations to Full Self-Driving (FSD) purchasers.
Tesla Robotaxi EXPANDS — AGAIN!!! (it's exponential) $TSLA https://t.co/xKND4apj18
*MUSK ON ROBOTAXI IN CHICAGO: TESLA WILL OPERATE THERE AS SOON AS WE REAFFIRM SAFETY TESTING IN THAT LOCALE AND RECEIVE A LICENSE TO OPERATE https://t.co/k3fUp2jnkX
BREAKING: ELON MUSK SAYS — META ENGINEERS ARE JOINING @XAI WITH INTIAL COMP 👀 Everyone wants to work for Elon ! https://t.co/aEpdwQ6z8K