A Tesla CyberCab drives through downtown Austin, Texas, on September 3, 2026.
Ronaldo Shemit | AFP | Getty Images
tesla Shares fell 6% on Friday after the electric car maker’s long-awaited CyberCab update failed to impress investors betting the company could become a major player in the currently dominated U.S. robotaxis market. of the alphabet Waymo.
The CyberCab, which Tesla first unveiled nearly two years ago, has been in production since April. It is a bronze-colored, two-seater robotaxi with scissor or butterfly doors and no steering wheel or pedals.
Tesla held an event in Austin, Texas, on Thursday, but it was invite-only and not streamed, and CEO Elon Musk did not appear. The company announced that users of its ride-hailing app Tesla Robotaxi can now take driverless trips in CyberCabs within geofenced areas around Austin.
Analysts at RBC Capital Markets wrote in a note Friday that Tesla “provided only limited new incremental disclosures compared to previous announcements, with important unanswered questions regarding pricing, production pace, and regulatory approvals remaining unresolved.”
“There was no public livestream for this event, a notable departure from Tesla’s traditional theatrical product announcements,” wrote analysts recommending buying Tesla stock.
Also Thursday, the National Highway Safety Administration launched an “audit investigation” to determine whether Tesla has properly self-certified its CyberCab as safe for use on public roads and in compliance with applicable federal safety standards.
Shares rose 5.4% on Thursday before the event, but the stock continued to fall on Friday.
Wells Fargo analysts released a note headlined “TSLA CyberCab Launch Event Underwhelms,” noting that the company’s Austin robotaxi service “is facing early execution issues.” Users are sharing videos and complaints about Tesla Robotaxi route guidance errors, missed destinations, and excessive wait and drive times.
WATCH: Tesla CyberCab launch didn’t live up to hype
