Business

Tesla accused of false advertising, may have to exit California market

State’s Department of Motor Vehicles claims carmaker exaggerates its autopilot, self-driving technologies

Updated 4 years ago · Published on 06 Aug 2022 5:00PM

Tesla accused of false advertising, may have to exit California market
California’s Department of Motor Vehicles has accused Tesla of exaggerating its automobile’s Autopilot and Self-Driving technologies, and has filed a complaint at the quasi-judicial tribunal the Office of Administrative Hearings on July 28. – EPA pic, August 6, 2022

WASHINGTON – A California regulator has accused Tesla of misleading consumers about its driver assistance systems, and has filed complaints that could potentially prevent the automaker from selling its cars in the state, US media reported yesterday.

In its filing, the Department of Motor Vehicles said Tesla advertised its Autopilot and Self-Driving technologies as more capable than they actually are, according to the Los Angeles Times.

The company “made or disseminated statements that are untrue or misleading, and not based on facts,” the DMV reportedly said in its complaints, filed with the quasi-judicial tribunal the Office of Administrative Hearings on July 28.

Tesla cars could never “and cannot now, operate as autonomous vehicles,” the DMV said, according to the California newspaper.

The DMV did not immediately return AFP’s request for comment.

Tesla’s website describes its Autopilot as having “full self-driving capability.”

“All you will need to do is get in and tell your car where to go,” it says. “If you don’t say anything, your car will look at your calendar and take you there as the assumed destination.”

A ruling in favour of the California regulator could have severe consequences for the electric carmaker, including the possible revocation of the licences authorising Tesla to manufacture or sell its cars in the state, according to the Times.

But a DMV spokesperson told the newspaper that actual remedies the agency would seek included having Tesla better educate drivers about its autonomous vehicles and feature a warning on the limitations of its technology.

Tesla vehicles equipped with autonomous driving software have been involved in 273 accidents in the United States, according to a report released in June by the US National Highway Traffic Safety Administration, which is investigating the automaker.

In June, Tesla boss Elon Musk stressed the importance of fully autonomous driving, claiming that without it the value of his company would be “close to zero”.

Tesla shares plunged at the close of the New York Stock Exchange yesterday, giving up 6.63% to USD$864.51 (RM3,806.01). – AFP, August 6, 2022

Related News

World / 1mth

76-year-old killed after Tesla 'on auto-pilot' crashes into her home

Malaysia / 1y

CRV gets clamped for parking in Tesla charging bay at KL mall

Malaysia / 1y

Indonesian domestic worker retracts rape accusation against Paul Yong

Malaysia / 2y

Malaysian youth’s stint with Tesla opens doors

Malaysia / 2y

Netizens abuzz about Tesla that crashed through brick wall in Selangor

Lifestyle / 2y

Tesla Model 3 now open for order in Malaysia

Spotlight

Malaysia

Najib raises objections to 80% of ex-1MDB CEO’s witness statement over hearsay

Malaysia

Tun Dr Mahathir, Siti Hasmah create ASEAN record

By Alfian Z.M. Tahir

Malaysia

Nanta Linggi to leave Parliament after five terms, may contest new Sarawak state seat

World

Typhoon Dolphin’s remnants swamp Beijing as China braces for more extreme rainfall

Malaysia

Anwar expected to leave hospital today after successful treatment

Malaysia

Husband and wife face death penalty for drug trafficking

Malaysia

Former Subang MP, Wong Chen joins Bersama

Malaysia

Malaysian dies while transiting in Bangkok to Japan (video)

You may be interested

Business

Nation’s wholesale and retail trade surges 10.1% to RM168.5 billion

Business

Fatal Red Sea attacks spark fresh oil price spike despite diplomatic talks

Business

SC wins court leave to pursue contempt proceedings against ex-APL director

Business

Oil holds above US$82 as Trump demands cloud Strait of Hormuz reopening

Business

Govt tightens import controls to protect consumers and ensure fair competition

Business

Port businesses badly hit by uncertainty over commingled oil tax – maritime expert

Business

Jobless numbers rise despite unemployment rate holding at 3% - DOSM