After the Department of Justice, the SEC, and the California DMV, the Golden State’s Attorney General Is Also Now Investigating Tesla’s FSD

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After sacrificing its industry-leading margins to maintain market share, Tesla is banking on unlocking the true potential of its Autopilot’s Full Self-Driving (FSD) capability to drive future profitability and growth. That rosy scenario, however, now appears increasingly jittery as federal and state authorities keep opening new investigations into the Autopilot’s safety and the attendant marketing strategies employed by Tesla.

Tesla’s Autopilot, a bespoke Advanced Driver-Assistance System (ADAS), can steer, accelerate, and brake vehicles on its own. However, currently, the ADAS is primarily intended for highways, and Tesla requires drivers to maintain vigilance on the road. The FSD adds to the Autopilot’s capabilities and can be acquired right now for a $15,000 lump-sum payment or via a monthly subscription that ranges between $99 and $199, depending on the base Autopilot variant.

Back in August 2022, California’s Department of Motor Vehicles (DMV) filed two complaints against Tesla with the state’s Office of Administrative Hearings, accusing the EV giant of misleading customers by falsely touting the “autonomous” capabilities of its electric vehicles in advertisements.

Then, in January 2023, the SEC commenced its investigation into Elon Musk’s relentless promotion of Tesla’s “self-driving” capabilities. It forms a part of the apex financial regulator’s broader inquiry into whether Tesla has violated established rules in promoting the Autopilot and the FSD add-on.

Concurrently, the US Department of Justice is also investigating Tesla’s Autopilot and has already subpoenaed documents from