Tesla Seeks Ride-Hailing Approval in California Bid
Tesla Inc. is seeking approval to offer ride-hailing services in California, a key step by Elon Musk's company to begin carrying paying customers while its traditional car-selling business falters. The electric vehicle manufacturer applied late last year for a transportation charter-party carrier permit from the California Public Utilities Commission, which would allow Tesla to own and control the fleet of vehicles. This move suggests Tesla is working to launch a promised ride-hailing business in the near term, opening a new revenue stream and putting it in competition with the likes of Uber Technologies Inc., Lyft Inc., and Waymo.
- The expansion into ride-hailing services poses significant regulatory challenges for Tesla, particularly given its autonomous driving ambitions, which could impact the company's overall strategy.
- How will Tesla's entry into the California ride-hail market affect the competitiveness of traditional ride-hailing services in the state?