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California regulators are threatening to suspend Tesla\u2019s licence to sell its electric cars in the state early next year unless the car maker tones down its marketing tactics for its self-driving features after a judge concluded that the Elon Musk-led company has been misleading consumers about the technology\u2019s capabilities.<\/p>\n
The potential 30-day blackout of Tesla\u2019s sales in California in the United States is the primary punishment being recommended to the state\u2019s Department of Motor Vehicles in a decision released late on Tuesday.<\/p>\n list of 4 items<\/span>end of list<\/span><\/section>\n The ruling by Administrative Law Judge Juliet Cox determined that Tesla had for years engaged in deceptive marketing practices by using the terms \u201cAutopilot\u201d and \u201cFull Self-Driving\u201d to promote the autonomous technology available in many of its cars.<\/p>\n After presiding over five days of hearings held in Oakland, California, in July, Cox also recommended suspending Tesla\u2019s licence to manufacture cars at its plant in Fremont, California. But California regulators will not impose that part of the judge\u2019s proposed penalty.<\/p>\n Tesla will have a 90-day window to make changes that more clearly convey the limits of its self-driving technology to avoid having its California sales licence suspended.<\/p>\n After California regulators filed its action against Tesla in 2023, the Austin, Texas-based company already made one significant change by putting in wording that made it clear its Full Self-Driving package still required supervision by a human driver while it is deployed.<\/p>\n \u201cTesla can take simple steps to pause this decision and permanently resolve this issue \u2013 steps autonomous vehicle companies and other automakers have been able to achieve,\u201d said Steve Gordon, the director of the California Department of Motor Vehicles.<\/p>\n In a post on Musk\u2019s X service, Tesla brushed off the decision as regulatory overkill.<\/p>\n \u201cThis was a \u2018consumer protection\u2019 order about the use of the term \u2018Autopilot\u2019 in a case where not one single customer came forward to say there\u2019s a problem. Sales in California will continue uninterrupted,\u201d the company said.<\/p>\n The car maker has already been plagued by a global downturn in demand that began with a backlash to Musk\u2019s high-profile role overseeing cuts in the US government budget via the Department of Government Efficiency (DOGE) that President Donald Trump created.<\/p>\n Politics apart, increased competition and an older lineup of vehicles also weighed on Tesla sales, although the company did revamp its Model Y, the world\u2019s bestselling vehicle, and unveil less-expensive versions of the Model Y and Model X.<\/p>\n Although Musk left Washington after a falling out with Trump, Tesla\u2019s sales have continued to slide and have decreased by 9 percent from 2024 through the first nine months of this year.<\/p>\n Despite the slump and the threatened sales suspension in California, Tesla\u2019s stock price touched an all-time high of $495.28 during Wednesday\u2019s early trading before backtracking later to fall below $470. Despite that reversal, Tesla\u2019s shares are still worth slightly more than they were before Musk\u2019s ill-fated stint in the Trump administration \u2013 a \u201csomewhat successful\u201d assignment he recently said he wouldn\u2019t take on again.<\/p>\n The performance of Tesla\u2019s stock against the backdrop of eroding auto sales reflects the increasing emphasis that investors are placing on Musk\u2019s efforts to develop artificial intelligence technology to implant into humanoid robots and a fleet of self-driving Teslas that will operate as robotaxis across the US.<\/p>\n Musk has been promising Tesla\u2019s self-driving technology would fulfil his robotaxi vision for years without delivering on the promise, but the company finally began testing the concept in Austin earlier this year, albeit with a human supervisor in the car to take over if something went awry. In the past few days, Musk disclosed Tesla had started tests of its robotaxis without a safety monitor in the vehicle.<\/p>\n California regulators are far from the first critics to accuse Tesla of exaggerating the capabilities of its self-driving technology in a potentially dangerous manner.<\/p>\n The company has steadfastly insisted that information contained in its vehicle\u2019s owner\u2019s manual on its website has made it clear that its self-driving technology still requires human supervision, even while releasing a 2020 video depicting one of its cars purportedly driving on its own.<\/p>\n The video, cited as evidence against Tesla in the decision recommending a suspension of the company\u2019s California sales licence, remained on its website for nearly four years.<\/p>\n Tesla has been targeted in a variety of lawsuits alleging its mischaracterisations about self-driving technology have lulled humans into a false sense of security that have resulted in lethal accidents.<\/p>\n The company has settled or prevailed in several cases, but earlier this year, a Miami jury held Tesla partly responsible for a lethal crash in Florida that occurred while Autopilot was deployed and ordered the automaker to pay more than $240m in damages.<\/p>\n<\/div>\n California regulators are threatening to suspend Tesla\u2019s licence to sell its electric cars in the state early next year unless the car maker tones down its marketing tactics for its self-driving features after a judge concluded that the Elon Musk-led company has been misleading consumers about the technology\u2019s capabilities. The potential 30-day blackout of Tesla\u2019s […]<\/p>\n","protected":false},"author":1,"featured_media":5778,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-5777","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-us-canada-news"],"_links":{"self":[{"href":"https:\/\/inernews.online\/index.php?rest_route=\/wp\/v2\/posts\/5777","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/inernews.online\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/inernews.online\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/inernews.online\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/inernews.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=5777"}],"version-history":[{"count":0,"href":"https:\/\/inernews.online\/index.php?rest_route=\/wp\/v2\/posts\/5777\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/inernews.online\/index.php?rest_route=\/wp\/v2\/media\/5778"}],"wp:attachment":[{"href":"https:\/\/inernews.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5777"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/inernews.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5777"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/inernews.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5777"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Recommended Stories <\/h2>\n
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