Elon Musk's robotaxis may soon hit local streets as his company seeks to expand its driverless ridesharing service and catch up with rival Waymo.

Tesla has told California Department of Motor Vehicles officials that it plans to take a phased approach to operating in the state, starting with giving employees pre-arranged rides using a safety

Tesla has applied for a permit to test and deploy autonomous vehicles in Arizona. It's also eyeing expansion in Austin, Texas and California.