Tesla has taken a significant step forward by securing a transportation permit in California, yet faces regulatory hurdles in its quest to launch autonomous robotaxis. As the company gears up for the release of its Cybercab,

Tesla (NASDAQ:TSLA) secured a permit from the California Public Utilities Commission (CPUC) on Tuesday to operate a transportation service in the state, marking the first step in a lengthy regulatory process that could ultimately pave the way for the company to launch a robotaxi service there.

Tesla’s shares have been in freefall ever since President Donald Trump took office, with Musk tied closely to the president’s agenda as the head of the newly created Department of Government Efficiency. The world’s richest man has spearheaded widespread cuts of federal agencies and their workforces.