The California Department of Motor Vehicles (DMV) has decided not to suspend Tesla's sales in the state, despite earlier concerns over deceptive marketing practices. This decision comes after Tesla complied with a regulatory order to cease misleading claims about its 'Autopilot' and 'Full Self-Driving' technology. The technology, it's important to note, cannot be used without an alert human driver present.
In December, the DMV found Tesla in violation of state law for exaggerating the capabilities of its driver assistance features. The DMV threatened a 30-day suspension of Tesla's dealer and manufacturer licenses if the company didn't correct its marketing. Since then, Tesla has stopped using the term 'autopilot' in California and added 'supervised' to describe its Full Self-Driving mode. This change aligns with the regulatory order to stop leading consumers to believe that Autopilot and Full Self-Driving could be used safely without an attentive human.
This isn't the first time Tesla has faced legal scrutiny. Last year, a Miami jury found Tesla partly responsible for a fatal crash involving its Autopilot system and ordered the company to pay $240 million to the victims. Additionally, Tesla shareholders sued Musk for making 'materially false' claims about Tesla's robotaxi operations in Austin, Texas. The regulatory body had given Tesla 90 days from December to adjust its advertising and stop leading consumers to believe that Autopilot and Full Self-Driving could be used safely without an attentive human.
Despite these controversies, Tesla's CEO, Elon Musk, has long touted the abilities of Tesla's driver assistance features, claiming for more than 10 years that a Tesla can drive itself as safely as a human. The DMV's decision to not suspend Tesla's sales is a significant development, but it also highlights the ongoing debate around the safety and marketing of autonomous vehicle technology.
