Tesla avoids 30-day California sales suspension

6 days ago

Tesla avoided a 30-day suspension of its dealer and manufacturer licenses in California by complying with a DMV order to stop using 'Autopilot' in marketing.
The California DMV accused Tesla of misleading consumers by implying vehicles could drive themselves with 'Autopilot' and 'Full Self-Driving' features.
Tesla argued the DMV knew about its branding since 2014 and 2016, claiming a statute of limitations on misleading the public.
An administrative law judge ruled Tesla's use of 'Autopilot' was misleading and violated state law, initially ordering a 30-day license suspension.
Tesla took corrective action by discontinuing 'Autopilot' in the U.S. and Canada, pushing users toward 'FSD Supervised' with a subscription model.
The timing of Tesla's compliance with the DMV coincided with its shift to a $99/month subscription for FSD, raising questions about motivations.
Tesla's marketing changes followed years of building a brand around self-driving promises, but the gap between promises and reality remains.

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