Tesla stock (TSLA) rebounded on Wednesday on news that the EV maker was one step closer to robotaxi ride-hailing in the state of California. The California Public Utilities Commission (CPUC) said it approved Tesla's application for a transportation charter-party carrier permit (TCP).

Tesla was granted a permit to operate a taxi service in what is seen as a first step toward driverless taxis for the electric vehicle brand.

The permit lays the groundwork toward a driverless taxi service. Tesla has said it will launch such a service in Austin, Texas in June.