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U.S. Senators Call for Investigation of Tesla’s (TSLA) Advertising Practices

August 18, 2021 5:35 PM

Following a series of Tesla (NASDAQ: TSLA) crashes, the company has become the subject of an investigation by U.S. safety regulators. U.S. Senators Richard Blumenthal (D-CT) and Edward Markey (D-MA), members of the Senate Commerce, Science, and Transportation Committee, authored a letter to FTC Chair Lina Khan today, voicing concerns surrounding Tesla’s advertising and marketing of its Autopilot and Full-Self Driving (FSD) features to consumers. The Senators believe the company has been misleading and has called on the Federal Trade Commission (FTC) to launch an investigation and take enforcement action.

“We fear that Tesla’s Autopilot and FSD features are not as mature and reliable as the company pitches to the public,” they wrote, pointing to comments from CEO Elon Musk as well as a 2019 YouTube video entitled “Full Self-Driving”.

“Tesla drivers listen to these claims and believe their vehicles are equipped to drive themselves — with potentially deadly consequences,” the senators wrote.

“Tesla and Mr. Musk’s repeated overstatements of their vehicle’s capabilities — despite clear and frequent warnings — demonstrate a deeply concerning disregard for the safety of those on the road and require real accountability,” they wrote. “Their claims put Tesla drivers — and all of the travelling public — at risk of serious injury or death. In light of these concerns, we urge you to swiftly open an investigation into Tesla’s repeated and overstated claims about their Autopilot and Full Self-Driving features and take appropriate enforcement action to prevent further injury or death as a result of any Tesla feature.”

By Michael Elkins | [email protected]

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