London Daily

Focus on the big picture.
Thursday, Jul 10, 2025

Elon Musk's regulatory woes mount as U.S. moves closer to recalling Tesla's self-driving software

Elon Musk's regulatory woes mount as U.S. moves closer to recalling Tesla's self-driving software

Traffic safety officials escalate and widen probe to 830,000 Tesla cars as they discover patterns suggesting Tesla's Autopilot feature can encourage dangerous driving behavior.

U.S. authorities are escalating and expanding a probe into Tesla’s controversial automated driving feature in a move that could prompt a mandatory recall.

On Thursday, the National Highway Traffic Safety Administration, an agency under the guidance of Transportation Secretary Pete Buttigieg, said it would be expanding a probe and look into 830,000 Tesla cars across all four current model lines, 11% more vehicles than they were previously examining.

The move came after the agency analyzed a number of accidents that revealed patterns in the car’s performance and the associated driver’s behavior, concluding that the findings warranted an upgrade to an "Engineering Analysis" from a previous "Preliminary Evaluation." An Engineering Analysis can be the precursor to a recall.

It said the purpose of escalating the investigation was to “explore the degree to which Autopilot and associated Tesla systems may exacerbate human factors or behavioral safety risks by undermining the effectiveness of the driver’s supervision.”

Since Tesla vehicles can have their software overwritten via a wireless connection to the cloud, a recall does not necessarily require bringing the vehicles to the dealers—a move that can be costly and above all inconvenience customers.

But any recalls ordered by NHTSA are required under law and must be officially monitored and coordinated with authorities.

Initially the probe started last year in response to Tesla vehicles mysteriously plowing into the scene of an existing accident where first responders were already present.

On Thursday, NHTSA said it had discovered in 16 separate instances when this occurred that Autopilot “aborted vehicle control less than one second prior to the first impact,” suggesting the driver was not prepared to assume full control over the vehicle.

CEO Elon Musk has often claimed that accidents cannot be the fault of the company, as data it extracted invariably showed Autopilot was not active in the moment of the collision.

While anything that might indicate the system was designed to shut off when it sensed an imminent accident might damage Tesla’s image, legally the company would be a difficult target.

All of Tesla’s current autonomous features, including its vaunted Full Self-Driving tech, currently in beta testing, are deemed assistance systems in which the driver is liable at all times rather than the manufacturer.


'Decades of inaction'


The regulatory clampdown is not without cause: Last month, NHTSA reported traffic fatalities nationwide hit a 16-year high in 2021 after 42,915 people lost their lives last year.

Up until Biden took office, however, NHTSA took very much a standoff approach to regulating Tesla. An investigation in 2016 into its Autopilot even concluded that crash rates were reduced by 40% in those vehicles equipped with the technology. Tesla happily cited NHTSA’s findings for its own marketing purposes, until the study was later retracted as fundamentally flawed.

Under the Trump administration, regulators such as NHTSA saw their influence sink. The job of the nation’s top traffic safety official was vacant for 15 months with Heidi King nominated only in 2017, never confirmed by the Senate and in office for only about two years.

Her successor, James Owens, later took the side of Tesla investors arguing the technology saves lives rather than endangers them, with a roll-back of rules that safety experts questioned.

It was only after Biden moved into the White House that regulatory headwinds began. Last August, NHTSA opened its initial probe into 745,000 Tesla models already sold, almost its entire U.S. fleet at the time.

Tesla fans began to worry after a noted critic of Musk's self-driving technology was hired by Buttigieg to serve as a top advisor.

Late last month, the National Association of City Transportation Officials welcomed the confirmation of acting administrator Steven Cliff, but warned he faced a “long road ahead” to rebuild NHTSA, through in part the introduction of standards for autonomous vehicle testing.

“After decades of inaction, other world regulatory bodies have leapfrogged the U.S. in enacting regulations that keep people safe,” NACTO said in a statement.

Fortune was not able to reach Tesla for comment.

Newsletter

Related Articles

0:00
0:00
Close
Severe Heatwave Claims 2,300 Lives Across Europe
NVIDIA Achieves Historic Milestone as First Company Valued at $4 Trillion
Declining Beer Consumption Signals Cultural Shift in Germany
Linda Yaccarino Steps Down as CEO of X After Two Years
US Imposes New Tariffs on Brazilian Exports Amid Political Tensions
Azerbaijan and Armenia are on the brink of a historic peace deal.
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Weinstein Victim’s Lawyer Says MeToo Movement Still Strong
U.S. Enacts Sweeping Tax and Spending Legislation Amid Trade Policy Shifts
Football Mourns as Diogo Jota and Brother André Silva Laid to Rest in Portugal
Labour Expected to Withdraw Support for Special Needs Funding Model
Leaked Audio Reveals Tory Aide Defending DEI Record
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
London Stock Exchange Faces Historic Low in Initial Public Offerings
A new online platform has emerged in the United Kingdom, specifically targeting Muslim men seeking virgin brides
Trump Celebrates Independence Day with B-2 Flyover and Signs Controversial Legislation
Boris Johnson Urges Conservatives to Ignore Farage
SNP Ordered to Update Single-Sex Space Guidance Within Days
Starmer Set to Reject Calls for Wealth Taxes
Stolen Century-Old Rolls-Royce Recovered After Hotel Theft
Macron Presses Starmer to Recognise Palestinian State
Labour Delayed Palestine Action Ban Over Riot Concerns
Swinney’s Tax Comments ‘Offensive to Scots’, Say Tories
High Street Retailers to Enforce Bans on Serial Shoplifters
Music Banned by Henry VIII to Be Performed After 500 Years
Steve Coogan Says Working Class Is Being ‘Ethnically Cleansed’
Home Office Admits Uncertainty Over Visa Overstayer Numbers
JD Vance Questions Mandelson Over Reform Party’s Rising Popularity
Macron to Receive Windsor Carriage Ride in Royal Gesture
Labour Accused of ‘Hammering’ Scots During First Year in Power
BBC Head of Music Stood Down Amid Bob Vylan Controversy
Corbyn Eyes Hard-Left Challenge to Starmer’s Leadership
London Tube Trains Suspended After Major Fire Erupts Nearby
Richard Kemp: I Felt Safer in Israel Under Attack Than in the UK
Cyclist Says Police Cited Human Rights Act for Riding No-Handed
China’s Central Bank Consults European Peers on Low-Rate Strategies
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Musk Battles to Protect Tesla Amid Trump Policy Threats
Air France-KLM Acquires Majority Stake in Scandinavian Airlines
UK Educators Sound Alarm on Declining Child Literacy
Shein Fined €40 Million in France Over Misleading Discounts
Brazil’s Lula Visits Kirchner During Argentina House Arrest
Trump Scores Legislative Win as House Passes Tax Reform Bill
Keir Starmer Faces Criticism After Rocky First Year in Power
DJI Launches Heavy-Duty Coaxial Quadcopter with 80 kg Lift Capacity
U.S. Senate Approves Major Legislation Dubbed the 'Big Beautiful Bill'
Largest Healthcare Fraud Takedown in U.S. History Announced by DOJ
×