Tesla Must Revise Marketing or Face California Sales Suspension

Tesla Inc. is facing a potential 30-day suspension of its sales in California. This action stems from allegations of misleading marketing practices concerning its driver-assistance technology. The California Department of Motor Vehicles (DMV) issued this warning, stating that Tesla’s marketing may exaggerate the functionalities of its “Autopilot” and “Full Self-Driving” systems.

Potential Suspension Details

The suspension will not take immediate effect. Instead, the DMV has provided Tesla with a 90-day window. This period allows the company to address the claims or to appeal the decision.

Allegations Against Tesla

• Misleading marketing regarding driver-assistance technology.
• Exaggerated claims about “Autopilot” and “Full Self-Driving” features.

Next Steps for Tesla

As the situation unfolds, Tesla has several options. The company can appeal the DMV’s decision, or it may choose to modify its marketing strategies to align with regulatory expectations.

In conclusion, Tesla must revise its marketing approaches to prevent the suspension of sales in California. The upcoming weeks will be critical for the automaker as it navigates these challenges.