Tesla is preparing to launch its robotaxi service in San Francisco as soon as this weekend, Business Insider reported on Friday, citing an internal staff memo.
Tesla shares rose 2.6% in morning trading.
Tesla said its timeline for the launch had been moved up and the service could launch as soon as Friday, the report said, adding that some Tesla owners will receive invites to use the service.
Chief Executive Elon Musk has shifted Tesla’s focus toward robots and self-driving taxis to counter declining sales of the company’s aging vehicle lineup.
Tesla’s robotaxi business is still in its early stages, having only conducted a controlled test run in Austin, Texas, earlier this year.
The geofenced area where Tesla's robotaxi service will operate covers a large swath of the Bay Area, including Marin, much of the East Bay, San Francisco and stretching south to San Jose, the report said.
Reuters could not independently verify the Business Insider report. Tesla did not immediately respond to Reuters' request for comment.
During the company's earnings call this week, Musk said Tesla is getting regulatory permission to launch robotaxis in several states, including California, Nevada, Arizona and Florida.
California regulators told Reuters on Wednesday that Tesla had not yet applied for permits needed to pick up and charge passengers for rides in fully autonomous vehicles.
Companies need a series of permits from both the California Department of Motor Vehicles (DMV) and the California Public Utilities Commission (CPUC) in order to test and deploy autonomous vehicles in the state.
The DMV and CPUC did not immediately respond to a request for comment.
Regulatory hurdles pose a challenge to Tesla as it must gain the trust of safety officials before launching fully autonomous services.