US Senators Call on the FTC to Investigate Tesla Over Allegedly Misleading Consumers About Self-Driving Technology

It appears that the headaches for Tesla (NASDAQ: TSLA) keep piling up: Merely days after the NHTSA opened a formal investigation into Tesla’s driver assistance program, two US senators have called on the Federal Trade Commission to determine if the EV maker mislead customers and endangered the public by falsely marketing its Autopilot system.

Democratic senators Richard Blumenthal and Ed Markey have penned a letter to the FTC, calling on its Chair Lina Khan to probe Tesla for “potentially deceptive and unfair practices” regarding the advertising of its Full Self-Driving (FSD) and Autopilot technology.

“We fear that Tesla’s Autopilot and FSD features are not as mature and reliable as the company pitches to the public,” the senators wrote, citing previous statements made by Tesla CEO Elon Musk, as well as a 2019 YouTube video advertising the EV maker’s FSD technology. “Tesla drivers listen to these claims and believe their vehicles are equipped to drive themselves— with potentially deadly consequences.”

The letter continued: “Their claims put Tesla drivers— and all of the travelling public— at risk of serious injury or death. In light of these concerns, we urge you to swiftly open an investigation into Tesla’s repeated and overstated claims about their Autopilot and Full Self-Driving features and take appropriate enforcement action to prevent further injury or death as a result of any Tesla feature.”

Recall, earlier this week, the NHTSA finally launched a major investigation into the safety of Tesla’s Autopilot feature, following a series of high-profile traffic incidents during which the driver assistance system was engaged. The probe spans across a total of 765,000 Tesla Model 3, X, and S — which are essentially all of the EV maker’s cars sold in the US since 2014.

Information for this briefing was found via Automotive News. 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.