Tesla said it was on track to roll out new, cheaper electric vehicle models in the first half of 2025 and would start testing a paid autonomous car service in June, enthusing investors and overshadowing quarterly results that fell short of Wall Street expectations on Wednesday.

With annual deliveries dropping for the first time last year, pressure has been mounting for the EV maker to unveil lower-priced models along with autonomous vehicles and software, that CEO Elon Musk said would boost future earnings.

Tesla CEO Elon Musk has revealed the U.S. city where the automaker is planning to launch its first robotaxi service for paying passengers in June.

The robotaxi service Musk said will launch in June will likely be distinct from the purpose-built “Cybercab” vehicles that it touted at a splashy LA event in October. Tesla said at the time that it would aim to start manufacturing its Cybercab—which won’t have a steering wheel or pedals—sometime before 2027.

Elon Musk said Tesla will begin launching unsupervised self-driving models in Austin, Texas by June and several other U.S. cities by the end of 2025.

By Zaheer Kachwala and Siddarth S (Reuters) -Tesla shares gained 3% on Thursday after CEO Elon Musk vowed to launch long-awaited cheaper models in the first half of 2025 and start testing an autonomous ride-hailing service in June.

Tesla will launch an “unsupervised, no one in the car” robotaxi service in Austin, Texas, in June, Elon Musk said in an earnings call Wednesday. “We just want to put a toe in the water, make sure everything’s okay,