(CTN NEWS) – Tesla Inc. now allows customers previously judged too unsafe to test out its contentious driver-assistance system.
Elon Musk, the CEO of Tesla, said through Twitter that anyone in North America who has purchased the option and requests it from their car screen can now use the technology Tesla refers to as Full Self-Driving Beta.
Tesla Full Self-Driving Beta is now available to anyone in North America who requests it from the car screen, assuming you have bought this option.
Congrats to Tesla Autopilot/AI team on achieving a major milestone!
— Elon Musk (@elonmusk) November 24, 2022
Due to low scores on the measures Tesla uses to determine insurance prices, certain paying customers have up to now been prevented from using the FSD feature.
Because the product hasn’t lived up to Musk’s claims, FSD has been a target of criticism.
few months after telling a tech conference that he believed autonomous driving to be “essentially a solved problem,” he revealed his intention to market it in October 2016.
In 2019, he predicted that Tesla’s technology would evolve to the point where no driver would be required in about a year.
Those forecasts didn’t come true: FSD still needs a fully focused driver to maintain control of the vehicle and be available to take over at any time.
Due to this disparity, Tesla now faces heightened legal and regulatory risks:
According to a person with knowledge of the situation last month, both the Securities and Exchange Commission and the US Justice Department are looking into Tesla’s self-driving claims.
In a lawsuit filed in September, a California customer claims that Tesla misrepresented the capabilities of its driver-assistance technologies and is now pursuing class-action status for the case.
In August, the California Department of Motor Vehicles charged the business with deceiving customers about its FSD and Autopilot technologies.
Given that Musk has conceded that demand for Tesla’s vehicles has been “a little harder” to meet, it is unclear whether expanding the availability of FSD to additional customers will impact Tesla’s ability to generate or recognize more revenue.
According to the business, it only recorded a fraction of the money clients paid for FSD, with the remaining sum being added to a deferred revenue balance.
Because consumers bought a promise rather than a finished product, FSD purchases haven’t been completely recorded in Tesla’s P&L, according to Patrick Hummel of UBS, who has a buy rating on the company.
Tesla had $2.8 billion in delayed revenue at the end of September.
The business anticipated realizing $1.09 billion in deferred revenue over the following 12 months, although Tesla has consistently overstated this.
Musk has profited from the US government’s relatively lax regulation of automated driving technology.
The National Highway Traffic Safety Administration stated that there were minimal legal obstacles for driver-assistance systems in the nation before Tesla’s first fatal collision in 2016 involving Autopilot.
When questioned in March about when Europeans will be able to test FSD, Musk told supporters at the Tesla plant Tesla was opening close to Berlin that the business was delaying because local regulators were less lenient.
Things are lawful by default in the US, according to Musk. “By default, they are prohibited in Europe. Therefore, we must first obtain consent, but you can do it in the US on your own initiative.
The National Highway Transportation Safety Board has criticized Tesla‘s use of Autopilot and FSD, even though it lacks the authority to compel automakers to abide by its recommendations.
In a statement to Bloomberg earlier this year, NTSB Chair Jennifer Homendy said, “Right now, our roadways are like the Wild West.” “It’s a catastrophe waiting to happen,”
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