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A Feature Synonymous With Tesla Is Now Under Investigation by Federal Authorities The investigation arrived one week after Tesla previewed its robotaxis.

By Sherin Shibu Edited by Jessica Thomas

Key Takeaways

  • As Tesla moves into a full self-driving future with robotaxis, a federal agency is investigating the safety of its current system.
  • The National Highway Traffic Safety Administration (NHTSA) filed an investigation into Tesla’s Full Self-Driving (Supervised) feature on Friday.
  • Tesla sold more than 1.8 million vehicles in 2023 alone.

Tesla is known for its Full Self-Driving (Supervised) feature, which packs automatic parking, lane changes and steering on city roads into an $8,000 upgrade for buyers. Though FSD is popular, new records filed on Friday morning show that a federal agency is concerned about the system's safety.

The National Highway Traffic Safety Administration (NHTSA) opened a preliminary investigation into all 2.4 million Tesla vehicles with FSD, including the Model 3 and Model Y, two of the most popular electric vehicles sold in the U.S. last year. The investigation follows four crashes involving Tesla cars; one resulted in a fatality, and one caused an injury.

Related: Elon Musk Announces the 'Cybercab' and Other Surprises at Tesla's 'We, Robot' Event. Here's What to Know.

The incidents were caused by low visibility conditions, like sun glare or fog, which interfered with FSD, the NHTSA wrote in the report. The preliminary review will look into how well FSD responds to low visibility conditions, if other FSD crashes happened under similar circumstances, and if Tesla makes any updates to the FSD system to improve safety.

Tesla Model 3. (Photo by Stanislav Kogiku/SOPA Images/LightRocket via Getty Images)

NHTSA's investigation arrived one week after Tesla held its robotaxi event. Robotaxis are meant to be fully autonomous, which Tesla itself acknowledges is difficult to achieve.

"Full autonomy will be dependent on achieving reliability far in excess of human drivers as demonstrated by billions of miles of experience, as well as regulatory approval, which may take longer in some jurisdictions," Tesla wrote on its website.

Tesla remains the market leader in electric vehicles, selling more than 1.8 million cars in 2023 alone. Its most recent earnings report, released earlier this month, shows that it delivered nearly half a million cars in Q3 alone, with delivery numbers up 6% from last year.

Related: Tesla Sales Show Demand Could Be Speeding Up For Electric Cars
Sherin Shibu

Entrepreneur Staff

News Reporter

Sherin Shibu is a business news reporter at Entrepreneur.com. She previously worked for PCMag, Business Insider, The Messenger, and ZDNET as a reporter and copyeditor. Her areas of coverage encompass tech, business, strategy, finance, and even space. She is a Columbia University graduate.

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