Tesla is in trouble again! The United States is investigating the entire lineup, pointing directly at the self-driving software

Wallstreetcn
2024.04.26 19:10
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The National Highway Traffic Safety Administration (NHTSA) stated on Friday that it has launched an investigation into Tesla to determine whether the recall involving over 2 million vehicles announced by the company in December last year is sufficient. The agency said that some vehicles still experienced accidents after the recall update software was installed, and NHTSA conducted preliminary tests on repaired vehicles, with the test results supporting the initiation of the investigation

The National Highway Traffic Safety Administration (NHTSA) of the United States stated on Friday that it has launched an investigation into Tesla to determine whether the recall involving over 2 million vehicles announced by the company in December last year is sufficient.

Tesla's recall this time aims to install new automatic driving assistance system protection measures. However, NHTSA stated that some vehicles still experienced accidents after installing the recall update software, and NHTSA conducted preliminary tests on repaired vehicles, with the test results supporting the initiation of an investigation.

NHTSA mentioned that it found "Tesla's driver intervention system to be weak and not suitable for overly loose autonomous driving capabilities," leading to "critical safety gaps." NHTSA also cited Tesla's statement that "some repair measures require the owner's choice to opt in, and the driver can easily revoke it."

The agency pointed out that although Tesla has released software updates to address the issues, they have not "included them in the recall scope, or otherwise identified them as addressing unreasonable safety risks."

The new recall investigation covers Model Y, X, S, 3, and Cybertruck models equipped with automatic driving systems in the U.S. market, involving models produced between 2012 and 2024, according to NHTSA.

In addition, NHTSA also expressed concerns on Friday about Tesla's automatic driving system name "Autopilot," stating that it "may lead drivers to mistakenly believe in greater automation capabilities than actually exist, leading to over-reliance on automation systems." In reality, Tesla's automatic driving is designed to enable vehicles to automatically steer, accelerate, and brake within lanes, and the enhanced version of automatic driving can assist in lane changes on highways but does not make the vehicle fully automated.

Tesla has not immediately responded to requests for comment.

Tesla's stock price rose 0.27% in midday trading on Friday, reaching $170.64, underperforming the broader U.S. market. Tesla's previous financial report showed that revenue and profits were lower than expected for three consecutive quarters, with revenue declining year-over-year for the first time in four years and marking the largest drop in twelve years, profits halved, free cash flow turning negative for the first time since the pandemic, but stated plans to accelerate the launch of more affordable models and increase AI investments as early as next year. Tesla's stock price has fallen by over 30% year-to-date.