Monday, February 23, 2026

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Tesla Issues Recall For 363,000 Vehicles With Full Self Driving, Investors Whine Over The Term “Recall”

A recall is finally happening for Tesla (NASDAQ: TSLA) and their full self driving vehicles, albeit a small one. The NHTSA today filed a notice, stating that just under 363,000 vehicles equipped with the feature are being recalled.

Affected models are said to include the 2016-2023 Model S and X, the 2017-2023 Model 3, and the 2020-2023 Model Y that are equipped with or are pending the installation of FSD Beta.

Source: NHTSA

In filing the recall, the safety board stated that the system may cause the car to do several things unintentionally, including:

  • allow the vehicle to act unsafe around intersections, such as,
    • traveling straight through an intersection while in a turn-only lane,
    • entering a stop sign-controlled intersection without coming to a complete stop,
    • or proceeding into an intersection during a steady yellow traffic signal without due caution.
  • the system may respond insufficiently to changes in posted speed limits or,
  • not adequately account for the driver’s adjustment of the vehicle’s speed to exceed posted speed limits.

READ: Tesla Said To Have Fired 30 Employees After Attempt To Unionize New York Facility

While being classified as a “recall,” Tesla will reportedly correct the software via an over-the-air, or OTA, update.

While it is technically a recall, certain supports of the brand have taken issue with the fact that its being called as such.


Information for this briefing was found via NHTSA and Twitter. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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