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09 / May / 2024 : 16-31

Elon Musk under federal probe for misleading claims on Tesla's full self-driving technology

Elon Musk is facing a federal probe over his comments regarding Tesla’s self-driving technology.According to a report by Reuters, the Department of Justice (DOJ) is investigating whether Musk’s and Tesla’s claims about their Autopilot and Full Self-Driving capabilities could be considered securities fraud or wire fraud.The subject of the inquiry by The DOJ is the establishment of the fact(s) that Tesla might have lied to its consumers about the self-driving services and distorted the information given to investors.Tesla’s website clearly states that drivers must take responsibility for steering manually, and previous AutoPilot features required their hands to remain on the wheel even while on autopilot.However, the Tesla boss has repeatedly said that his electric cars can drive themselves, but the truth is that autonomy is not yet at the level needed for such a technology to be developed.The investigation is reportedly still in its preliminary stages, partly due to the “voluminous” documentation provided by the EV giant.During the morning of Wednesday after the investigation news, Tesla saw a 3% stock decline in the stock market.
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