Before the Austin launch last year, Musk talked about how Tesla's technology is "a general solution that works anywhere," in contrast to the more deliberate, city-by-city approach of Alphabet's Waymo, the U.S. leader in driverless taxis.
On Wednesday, Musk and other executives delved into the specific details of scaling up robotaxi service in individual cities.
"Regulatory situations are different city by city," said Lars Moravy, Tesla's vice president of vehicle engineering. "The reason we're expanding city by city is to make sure that we're meeting all of those one at a time."
CFO Vaibhav Taneja added "there are different kinks ... not just on the software front, but on the operations front, that we're trying to tackle."
He said the company wants to "sort these things out in a smaller fleet in a controlled manner" before going "really high in terms of deployment."
Wells Fargo analyst Colin Langan asked why the number of vehicles is still "in the dozens as opposed to hundreds." What is the "roadblock to start adding more vehicles on the ground?" he asked.
Tesla Vice President of AI Ashok Elluswamy said that even with a few vehicles, "you can get a lot of miles out of them."
He said the growth in robotaxi miles driven is "literally exponential. Just it's in the early part of the exponential. That's why it's hard for others to comprehend."
Musk on Wednesday's call reiterated that Tesla is balancing the pace of the expansion with safety. "We want to grow as fast as possible with robotaxi, without harm to anyone."
In an investor presentation in January, Tesla said that its robotaxis would expand to seven metro areas by the end of June: Dallas, Houston, Phoenix, Miami, Orlando, Tampa and Las Vegas.
Up until Tuesday, Tesla had only launched in three of those cities: Dallas, Houston and Miami, with service limited to outlying sections of Houston and Miami.
The company announced on Tuesday that it was "now in Tampa & Orlando," following several analyst reports ahead of earnings that mentioned the slow expansion.
But the service areas in those cities, like Miami and Houston, were limited to less-trafficked neighborhoods outside the city centers.
Reuters tested out the robotaxi service in the weeks after the Dallas and Houston launches and found long wait times, with sometimes no availability at all.
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