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Tesla shares initially rose after the company began a limited Robotaxi service in Austin on June 22, 2025. Two days later, they fell more than 4%, nearly $15, according to Futurism, after videos of driving errors drew attention. That sequence is a sharp reversal, but it does not establish that the videos alone caused the decline.
What happened during Tesla’s Austin Robotaxi debut?
Tesla began its first Robotaxi service in Austin on June 22, 2025. The launch was a limited test, not a broad driverless rollout: Bloomberg described a narrow operating area and selected riders, with an employee in the front passenger seat monitoring each vehicle. Reuters reported that the early fleet consisted of about 10 to 20 standard Model Y vehicles, also with a safety monitor in the front passenger seat. Tesla’s Q2 2025 update likewise called the service’s initial scope limited.
The distinction matters when interpreting both the launch and the footage. These were monitored vehicles operating in a defined area, not evidence that Tesla had deployed a fully driverless service at scale.
What driving problems appeared in launch-week videos?
Early rider videos showed vehicles making several kinds of mistakes: entering a lane for oncoming traffic, stopping to drop passengers in roadways or intersections, braking suddenly, speeding, and driving over a curb. Reuters independently verified locations shown in at least 11 videos. In one clip, a car proceeded into oncoming traffic for about six seconds; another showed sudden braking with no obstruction apparent in the video.
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Reuters said the incidents captured on camera did not involve accidents. Carnegie Mellon University computer-engineering professor and autonomous-technology expert Philip Koopman told Reuters on June 25, 2025: “This is awfully early to have a bunch of videos of erratic and poor driving,” and, “I was not expecting as many videos of problematic driving on the very first day.” Those observations concern launch-week clips, not later crash reports.
Why did Tesla shares first rise, then fall?
The market response was mixed across the first days of service. Bloomberg reported that Tesla shares climbed after the June 22 launch. Futurism later reported that on Tuesday, June 24, shares fell more than 4% and nearly $15 after videos of problematic driving appeared. The dated figures describe a one-day move in 2025, not Tesla’s current share price or performance.
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The timing makes the videos a plausible part of the news backdrop, but it does not prove they caused the decline or explain the entire move. Shares can respond to multiple company and market developments at once, and the cited reports do not establish a single cause. The word “tailspin” in the original headline is a characterization of that drop, not evidence of a sustained trend.
What did regulators say, and what do later reports show?
NHTSA’s initial response
On June 24, 2025, The Guardian reported that the National Highway Traffic Safety Administration (NHTSA) was aware of the videos and in contact with Tesla to gather information. The agency said: “NHTSA is aware of the referenced incidents and is in contact with the manufacturer to gather additional information.” The Guardian also reported NHTSA’s explanation that manufacturers certify their vehicles meet federal standards and that the agency investigates potential safety defects. Contact with the manufacturer is not, by itself, a finding that a vehicle violated a standard.
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Crash reports after the launch
In 2026, CBS News reported 14 crashes involving Tesla Robotaxis since the Austin launch, based on NHTSA data. The five most recent incidents discussed in that coverage involved property damage but no injuries; two earlier incidents resulted in minor injuries. The 14-crash total is the number reported at the time of the CBS coverage, not a fixed final count. It is separate from the launch-week videos Reuters reviewed, which it said did not involve accidents.
Later Cybercab developments in Austin
A September 4, 2026, Axios report described a later stage of Austin operations, involving Cybercabs rather than the original Model Y test fleet. Axios said Tesla Robotaxi LLC had received Texas authorization and that 45 Cybercabs had been added to the list of vehicles operating under that authorization. It also reported that NHTSA had opened an investigation into Tesla’s self-certification that the Cybercab met federal standards. The same report counted 10 city incidents or complaints involving Tesla autonomous vehicles since Cybercab testing began in June 2025, seven categorized as safety concerns. Those complaints and the federal investigation are distinct from both the June 2025 video clips and the CBS-reported crash total.
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How Tesla described its autonomy approach
In its Q2 2025 update, Tesla described its autonomy approach as a camera-only architecture using neural networks trained on data from its global fleet. That is the company’s account of its technology, not independent validation of the system’s safety or performance. The update also described the Austin service as limited in its initial scope.
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How to read the launch-week story
- Scale and oversight: The initial Austin service had a narrow operating area, a small reported fleet, selected riders, and an employee monitor in each vehicle.
- Different evidence, different dates: Launch-week video clips documented driving errors without accidents, according to Reuters. Later crash totals and Cybercab regulatory developments describe other events and reporting periods.
- Market causation remains uncertain: Shares rose after launch, then fell on June 24 amid negative attention to the videos. That chronology alone cannot isolate the reason for the stock move.
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