Tesla's autonomous Robotaxi service surpassed 1 million daily rides for the first time on Thursday, the company disclosed in an X post by CEO Elon Musk on Friday morning. The milestone arrived just 14 months after the service launched in Austin in February 2025 with a fleet of 40 vehicles, and now spans 22 metropolitan areas across the United States, Mexico, and the United Arab Emirates.
Tesla shares climbed 5.4% to $312 on Friday following the disclosure, lifting the year-to-date gain to 18% and pushing the company's market capitalization back above $1 trillion for the first time since November. Bears continue to point to declining Model 3 and Model Y unit deliveries as a counterweight, but the bull thesis has decisively rotated toward the autonomy-and-energy story.
Cybercab Production Ramping
The dedicated Cybercab vehicle, Tesla's purpose-built two-seat robotaxi without steering wheel or pedals, is now in full production at Giga Texas at a daily run rate of approximately 380 units. The company expects to reach 1,500 units per day by Q4 2026 as the second production line completes commissioning, putting the model on track for an annualized 400,000 unit run rate by mid-2027.
Austin and Phoenix this week became the first two cities to complete the transition from limited geofenced service to full city-wide coverage, with autonomous operations available across 100% of public roads within municipal limits. Both cities also lifted prior overnight restrictions, allowing 24-hour operations. Las Vegas, Miami, and Houston are scheduled to follow by end of Q3.
Pricing Pressure on Uber and Lyft
Tesla's average per-mile fare in Austin and Phoenix has settled at approximately $0.68 per mile, roughly 38% below comparable Uber UberX fares and 42% below Lyft. The pricing pressure has begun to materially impact incumbent ride-share economics. Uber shares fell 4.2% on Friday, while Lyft