California’s top transportation regulator has made it explicit: Tesla is not operating an autonomous vehicle service in the state. The company holds the same permit as a limousine company. Pat Tsen, the deputy executive director for consumer policy, transportation, and enforcement at the California Public Utilities Commission (CPUC), confirmed that Tesla’s ride-hailing operation is classified as a standard chauffeur service — not a “robotaxi” — and is subject to none of the safety reporting and data transparency requirements imposed on actual autonomous vehicle operators like Waymo and Zoox. Tesla holds a limo permit, not an AV permit In an interview on the Driverless Digest Podcast, Tsen was unambiguous about Tesla’s regulatory classification. When the host mentioned taking a paid Tesla “robotaxi” ride in San Francisco, Tsen corrected the framing directly: “Tesla is not operating an autonomous vehicle service. So in California we define autonomous vehicles to be those that are SAE level three — meaning that the onboard AI system is capable of navigating designated road conditions within an operational design domain on its own. Tesla is a level two system and so they do not have a permit with the California Public Utilities Commission and my understanding is that they do not have a permit with the DMV either.” What Tesla does have, Tsen explained, is a charter party carrier (TCP) permit — the exact same authorization that limousine companies obtain: Advertisement - scroll for more content “What they have from us is essentially a charter party carrier permit. It is the same type of permit that a limousine company would get from the CPUC to provide a limousine service. So in terms of our view of the person who is sitting in the driver’s seat, that is the driver. That is not a safety driver. So even if they’re using a tool to help them drive autonomously, there is a driver in the safety seat.” Tsen compared Tesla’s service directly to any other driver-assist ride on the Uber platform, calling it “similar to a person using full self-driving supervised on the Uber platform.” No safety data, no reporting, no oversight The classification has significant consequences for transparency. The CPUC collects detailed per-trip data from actual AV operators — including location data, passenger data, vehicle miles traveled, idling time, and “stoppage events” (instances where a vehicle is stuck for more than two minutes or requires remote intervention). This data is published in quarterly reports available to the public. None of that applies to Tesla. When asked whether CPUC data would be available for Tesla’s operations, Tsen confirmed they “are not subject to the autonomous vehicle program reporting requirements.” This means Tesla’s ride-hailing service in the Bay Area operates in a regulatory blind spot, collecting fares, branding itself as a “robotaxi” service, but avoiding every safety reporting obligation that Waymo and Zoox must meet. A pattern of avoiding AV scrutiny This confirmation from the CPUC’s second-highest-ranking transportation official fits a pattern we’ve been tracking for over a year. Tesla applied for ride-hailing service in California with human drivers in early 2025, then obtained a TCP permit that March — the same kind of permit any limo company gets. When the CPUC opened a rulemaking on autonomous ride-hailing regulations, Tesla lobbied to keep “robotaxi” data hidden while Waymo pushed for expanded transparency requirements. Tesla argued that extending quarterly reporting to Level 2 ride-hailing operators would be “burdensome” — while simultaneously claiming its Level 2 system is safer than human drivers alone. If that claim were true, the data would prove it. Then in February 2026, Tesla filed comments with the CPUC that amounted to a quiet admission: its “Robotaxi” service still relies on in-car human drivers and remote operators in both Austin and the Bay Area. The filing explicitly acknowledged using an SAE Level 2 system — yet Tesla argued it should retain the right to market the service using terms like “driverless,” “self-driving,” and “Robotaxi.” Meanwhile, Waymo operates fully driverless vehicles across multiple cities, completing over 450,000 paid rides per week, with full CPUC reporting requirements and published safety data. The gap between the two companies’ actual capabilities could not be wider. Electrek’s Take Top comment by Beario Liked by 57 people Operating a cab service and calling it a "Robotaxi" is no different than selling "Full Self Driving" and calling it supervised. Both extremely shady methods to convince investors to buy into non existent products. The only time they make changes is when they are caught. I'm still curious about how the investigations into FSD is going to turn out. The camera only system has shortcomings in poor conditions and maybe it will be time for that back to the drawing board moment where Tesla does it a better way. View all comments What Pat Tsen said in this interview is what we’ve been reporting for over a year, but it hits differently coming from the CPUC official who directly oversees autonomous vehicle regulation in California. Tesla is running a chauffeur service with a limousine permit and calling it a “robotaxi.” The state’s own regulator is telling you, on the record, that the driver in the seat is just a driver — not a safety driver, not an autonomous backup. A driver. The real consequence here is the reporting gap. Waymo and Zoox submit detailed per-trip data that the public can scrutinize. Tesla submits nothing, because it’s not classified as an AV operator. So the company gets to market itself as a robotaxi service while ducking every transparency requirement designed to keep passengers and the public safe. It’s the best of both worlds for Tesla and the worst for consumers. The fact that Tesla is only operating its limited robotaxi service in Texas, where autonomous driving regulations are notoriously the most minimal in the country, tells everything you need to know about Tesla’s effort. Tesla is actively avoiding reporting any significant data about its program publicly. 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