Tesla’s Cybercabs Put NHTSA’s Authority to the Test

Tesla has placed driverless Cybercabs on Texas roads without first using the federal exemption process that applies to vehicles lacking traditional controls. A state database shows that 45 Cybercabs are currently in Tesla’s Texas fleet.

NHTSA has responded with an investigation called an Audit Query. The agency will examine the data and process Tesla used to determine that the vehicles could operate without steering wheels or pedals, according to a government filing.

Under the Federal Motor Vehicle Safety Standards (FMVSS) Exemption Framework, autonomous vehicle manufacturers operating without traditional controls must petition NHTSA for temporary exemptions under 49 U.S.C. § 30113. Amazon’s Zoox filed formal petitions that established this administrative pathway for driverless vehicles. NHTSA has made clear through the Zoox case that it expects developers to use the exemption process. Ann Carlson, a former acting NHTSA administrator who is now a professor of environmental law at UCLA, said the investigation is likely “an indication that NHTSA is super frustrated with Tesla.” “For Tesla to slap them in the face and ignore that—that is gobsmacking,” she said.

Tesla did not respond to requests for comment on the federal query.

In a statement, NHTSA Administrator Jonathan Morrison said the agency “fully supports the safe development and deployment of automated vehicles. But as the federal regulator, we need to ensure that all of our laws are followed.”

NHTSA can require an automaker to change its vehicle or process. The agency can also pursue enforcement actions, including civil penalties. Volvo Group North America paid $130 million in penalties in 2023 after an investigation into its recall process and agreed to three years of oversight by a third-party auditor.

NHTSA’s scrutiny of Tesla also builds on its Standing General Order, which requires reporting of incidents involving automated driving software such as Autopilot and Full Self-Driving. That oversight has previously led to forced software recalls.

The 45 Cybercabs in Texas represent Tesla’s current physical footprint on public roads.

Elon Musk has publicly slated un-steered Cybercab mass production for 2026, with a target price below $30,000. He has presented the vehicle as central to Tesla’s valuation and has said the company should no longer be regarded primarily as an automaker, but as a robotics and autonomous vehicle company.

Tesla intends to deploy millions of the vehicles annually.

This story originally appeared at wired.com.