Elon Musk’s Tesla to launch ‘robotaxis’ this August. What are they?

Tesla's CEO, Elon Musk, has disclosed the debut date for the Tesla robotaxi. In a post circulated on his platform X, formerly known as Twitter, the tech magnate stated, “Tesla Robotaxi unveil on 8/8.”

According to Market Watch, this triggered an almost four per cent increase in Tesla's stock to $171.19 in after-hours trading on Friday (April 5). This announcement followed shortly after Musk dismissed reports about scrapping plans for a cheaper vehicle, reaffirming Tesla's dedication to an autonomous vehicle that has the potential to revolutionise the automotive sector.

A Robotaxi is a fancy term for a self-driving car that works like a taxi. Elon Musk, CEO at Tesla Motors, spoke about it at a meeting for investors in 2019. He imagined a future where people could make money by letting others use their self-driving cars as taxis. 

But making this idea a reality hasn't been easy. Elon Musk admitted there have been delays. He said, "Sometimes I'm not on time," which means he's late with his plans.

One big problem is getting permission from the government for Tesla's self-driving technology. Last year, Tesla had to call back a bunch of cars because a safety group found issues with their self-driving software. They said the software could make Tesla cars go too fast or drive strangely and dangerously.

Right now, if you buy a new Tesla Model 3, you can add the self-driving feature for $12,000 more on top of the car's starting price of $40,000. Or you can pay a monthly fee starting at $199, depending on what features your car has.