Tesla's robotaxi lands in Arizona to compete with Google

Elon Musk's Tesla has applied to test and subsequently deploy its robotaxi vehicles in Phoenix, Arizona, following in the footsteps of market leader Waymo.

Tesla has applied to conduct tests and operations of autonomous vehicles, with and without human drivers on board, in Arizona, a spokesman for the Arizona Department of Transportation told Cnbc on Thursday. A decision on the application is expected inlate July and Tesla has "expressed interest in operating in the Phoenix metropolitan area," the spokesman said by e-mail. Reuters first reported Tesla's ambitions in Arizona.

The move to expand into Arizona comes after Tesla, in June, launched apilot test of its robotaxis in Austin, Texas. TheTesla fleet in Austin includes Model Y suvs equipped with the company's latest autonomous driving systems. These vehicles are remotely supervised by employees in an undisclosed operations centre and each includes a human safety supervisor who travels with the passengers. The safety supervisor sits in the front passenger seat, accompanying the passengers, who are invited Tesla fans. The supervisor can intervene in the event of problems with Tesla robotaxis.

Waymo, owned by Alphabet, the parent company of Google, opened a driverless robotaxi service to the public in the Phoenix area in 2020 and now operates a fleet of 400 robotaxis, the company told Cnbc on Thursday. Tesla, once considered a pioneer in autonomous driving, is now trying to catch up with Waymo. The two companies have distinct approaches to autonomous driving technology. Tesla claims that its choice to use mainly cameras instead of expensive sensors such as lidar will make its autonomous vehicles more economically viable. Musk's company's early efforts in Austin encountered problems.