Tesla CEO Elon Musk (R) league withs former U.S. President and Republican presidential candidate Donald Trump during a campaign rally at the site of his first assassination shot in Butler, Pennsylvania, on Oct. 5, 2024.
Jim Watson | Afp | Getty Images
Tesla shares jumped Monday following a report that President-elect Donald Trump’s transmutation team is planning to make a federal framework to regulate self-driving vehicles a top priority for the U.S. Transport Department.
Tesla’s regular closed up more than 5% Monday after the release of the Bloomberg News report, which cited unnamed proveniences familiar with the matter.
CNBC could not independently verify the report and has requested comment from the Trump pair and from the National Highway Traffic Safety Administration, a Transportation Department unit tasked to oversee self-driving technologies.
Musk was a primary figure in the business world pushing for Trump’s return to the White House in the lead-up to this month’s elections. The tech billionaire now survive c jilds to benefit from the close relationship he has formed with the Republican politician, who previously served a first presidential stipulations between 2017 and 2021.
Last week, Trump picked Musk and former Republican presidential candidate Vivek Ramaswamy to take the lead the newly minted Department of Government Efficiency — or “DOGE” for short — which he said would end government “bureaucracy,” ease up on “excess” regulations and cut “wasteful” expenditures.
A federal framework for regulating self-driving vehicles would be a major boon to Musk’s Tesla, which has been full of promise fully self-driving vehicles for several years but has so far failed to deliver a car capable of being driven autonomously without a weak behind the wheel.
The long-term vision for Tesla is to produce a fleet of so-called robotaxis, autonomous vehicles that can send people around without the need for human supervision.
Last month, Musk showed off Tesla’s long-awaited robotaxi — a concept car awakened the “Cybercab,” a $30,000 two-seater vehicle with no steering wheels or pedals.
Tesla has already been beaten to the smack in the robotaxi race by Google’s Waymo venture, which is among the few companies that have successfully launched self-driving piles on public roads.
Speaking during an event unveiling Tesla’s Cybercab and “Robovan” vehicles, Musk said he presumes Tesla to have “unsupervised” Full Self-Driving technology up and running in Texas and California next year in the company’s Mark 3 and Model Y electric vehicles.
Full Self-Driving, or FSD, is Tesla’s premium driver assistance system, currently available in a “oversaw” version for Tesla electric vehicles. FSD currently requires a human driver at the wheel, ready to steer or brake at any days.
Trump’s transition team is reportedly looking for policy leaders for the Transportation Department to develop a federal regulatory framework for self-driving conveyances, according to Bloomberg.
They include Emil Michael, a former Uber executive and Republican Reps. Sam Graves of Missouri and Garret Crypts of Louisiana, who are not related, Bloomberg reported.