Tesla shares jump nearly 5% after Elon Musk confirms driverless robotaxi testing

Core Viewpoint - Tesla's shares reached their highest level in nearly a year following CEO Elon Musk's announcement that the company is testing its robotaxis without safety monitors in the front passenger seat, reflecting investor optimism about its self-driving technology and humanoid robot ambitions, despite the majority of its revenue still coming from electric vehicle sales [1][2]. Group 1: Stock Performance - Tesla's stock rose by as much as 4.9%, reaching $481.37, marking its highest price in nearly a year [2]. - The stock previously hit a record high of $488.54 on December 18 of the previous year, driven by expectations of regulatory easing for self-driving cars [3]. Group 2: Robotaxi Testing - Tesla launched a limited robotaxi service in Austin, Texas, in June, using modified Model Y vehicles equipped with Full Self-Driving technology, initially requiring a human safety monitor [3]. - The current testing phase involves robotaxis operating without any occupants in the vehicle, as stated by Elon Musk [5][8]. Group 3: Market Expectations - Investors and analysts are optimistic that Tesla will accelerate its testing and quickly deploy driverless taxis, especially with the upcoming launch of its Cybercab model next year [4]. - Analysts, such as Seth Goldstein from Morningstar, believe that the news of testing without safety monitors aligns with expectations of progress in Tesla's testing efforts, contributing to the positive market reaction [6]. Group 4: Competitive Landscape - As of November, Alphabet's Waymo leads the commercial robotaxi market with over 2,500 robotaxis operating in major US cities, providing approximately 450,000 paid rides per week [7].