While Tesla Fights in Court, Its Competitors Are Quietly Winning the Autonomy War
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Published on March 17, 2026.
A state administrative judge in California found that Tesla misled consumers about its self-driving capabilities, leading them to believe they could drive themselves. The California Department of Motor Vehicles threatened a temporary suspension of Tesla's manufacturing and sales licenses. However, Tesla's lawyers have filed a complaint claiming that the state has labelled their company a false advertiser. This argues that it is impossible to buy or use the “auto-pilot” software without seeing clear statements that they do not make the vehicle autonomous. Tesla CEO, Elon Musk, has argued that his futuristic language to sell cars is invalidated by courts and relies on its owners’ manuals to blame the system for failures. The company's cars still only have a Level 2 autonomy out of four levels. There have been at least 65 fatalities connected to Tesla's Autopilot system in the decade following its release in October 2015.
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