Federal Safety Probe Puts Tesla's Self-Driving Robotaxis Under Scrutiny in Texas

The National Highway Traffic Safety Administration is investigating Tesla's self-driving 'robotaxis' in Texas after videos showed erratic behavior. While some rides perform perfectly, safety concerns persist. The probe could affect Elon Musk's claim of Tesla's future self-driving dominance, amid stiff competition from other players.

The National Highway Traffic Safety Administration (NHTSA) is examining Tesla's 'robotaxis' in Texas after videos surfaced showing problematic behavior during test runs. The footage reveals abrupt braking, navigating intersections improperly, and driving on the wrong side of the road.

Currently gathering data from Tesla, NHTSA aims to assess whether these incidents undermine Elon Musk's assurances of the technology's safety. While many Tesla rides proceed without issues, the inquiry has rattled investors and possibly impacts the company's self-driving futures discourse.

Despite reassurances from proponents like Wedbush Securities' Dan Ives, critiques remain, arguing the system remains unpredictable and potentially dangerous. The investigation's outcome could have significant ramifications for Tesla amid rising competition and recent controversies surrounding Musk.

(With inputs from agencies.)