Tesla is preparing to roll out its robotaxi service in San Francisco and the Bay Area with a safety driver as soon as this weekend, Business Insider reported on Friday, in an effort to expand quickly amid falling electric vehicle sales.

The development comes as California is mulling over the decision to suspend Tesla operations in the state, due to false claims about its consumer cars' self-driving capabilities.

Rivian stock (NASDAQ: RIVN) rose on Friday in response to Tesla's (NASDAQ: TSLA) plans to launch its robotaxi service in San Francisco. Both companies are facing challenges in the electric vehicle market,

Tesla and its CEO Elon Musk are walking an increasingly difficult tightrope as the company navigates declining electric vehicle sales and an autonomous driving business that has yet to get off the ground.

Elon Musk warns about a "rough" few quarters and shares updates on robotaxis and the "more affordable" Tesla model.

Tesla Inc.’s core car-making business is facing a deteriorating outlook, providing a major test of Chief Executive Officer Elon Musk’s ability to lift the stock price with his vision

R obotaxis driving around Austin. A humanoid robot serving popcorn in Los Angeles. A Tesla delivering itself to a customer. Tesla Chief Executive Elon Musk is telling investors the carmaker’s future is closer than ever—and it doesn’t depend on selling electric vehicles.