Tesla’s Cybercab is under investigation by federal regulators

Federal regulators have launched an investigation into whether Tesla’s new Cybercab model complies with safety regulations, a potentially major setback to the company’s plans to offer paid rides in driverless vehicles.

The National Highway Traffic Safety Administration’s investigation began Thursday, according to a document posted on the agency’s website, the same day Tesla put dozens of Cybercabs on display in Austin, Texas, near the factory where they are made.

Tesla has indicated that it plans to offer paid rides in Cybercabs that do not have steering wheels, brake pedals, or side and rear view mirrors.

Federal regulators allow auto manufacturers to self-certify that vehicles meet automotive safety standards. Among other things, the regulations require cars to have brakes and steering wheels. Tesla may have decided that some regulations do not apply to Cybercabs, the agency said.

The agency “will consider the extent to which Tesla’s certification depended on determinations that certain FMVSS are inapplicable to the Cybercab,” it said, referring to federal motor vehicle safety standards.

Tesla did not immediately respond to a request for comment.