Tesla dodges 30-day suspension in California after removing Autopilot
TeslaTesla(US:TSLA) TechCrunch·2026-02-18 04:07

Core Insights - The California Department of Motor Vehicles (DMV) will not suspend Tesla's sales and manufacturing licenses for 30 days due to Tesla's cessation of using the term "Autopilot" in its vehicle marketing in California [1][5] - This decision resolves a nearly three-year-long case regarding Tesla's marketing practices related to its advanced driver assistance systems [1][2] Group 1: Regulatory Actions - In November 2023, the DMV accused Tesla of violating state law by using deceptive marketing for its Autopilot and Full Self-Driving systems, claiming these terms misled customers about the capabilities of the systems [2] - An administrative law judge initially agreed with the DMV's request to suspend Tesla's licenses for 30 days as a penalty, but the DMV allowed Tesla 60 days to comply with the ruling [4] Group 2: Tesla's Response - Tesla has stopped using the term "Autopilot" in its marketing and modified the term "Full Self-Driving" to "Full Self-Driving (Supervised)" to clarify that driver supervision is required [3][5] - In January, Tesla discontinued Autopilot in the U.S. and Canada, which not only helped comply with the DMV but also aimed to boost adoption of the Full Self-Driving system, which requires a paid upgrade [5] Group 3: Financial Implications - The Full Self-Driving (Supervised) system, which previously required an $8,000 one-time fee, is now available through a monthly subscription of $99, with expectations of future price increases as the system improves [8]