Updated
Updated · TechCrunch · Jun 28
Tesla Faces 2 Federal Probes, Settles 2023 Fatal FSD Crash Lawsuit
Updated
Updated · TechCrunch · Jun 28

Tesla Faces 2 Federal Probes, Settles 2023 Fatal FSD Crash Lawsuit

3 articles · Updated · TechCrunch · Jun 28

Summary

  • NHTSA and NTSB have opened investigations into a Texas crash in which a Tesla struck a home and killed a 76-year-old woman.
  • The probes follow conflicting accounts of the system in use: the driver told police Autopilot was engaged, while Tesla AI chief Ashok Elluswamy said the driver overrode self-driving by fully pressing the accelerator.
  • Tesla also settled a lawsuit tied to a separate 2023 fatal crash involving Full Self-Driving (Supervised), a case already linked to an NHTSA review of how FSD handles reduced visibility such as sun glare, fog, or dust.
  • The added scrutiny lands as Tesla pitches itself as an AI and robotics company, with FSD (Supervised) serving as its most visible revenue-generating product in that strategy.

Insights

Who is truly liable when a 'supervised' self-driving car crashes: the driver, the car, or the marketing that shaped expectations?
As the U.S. bans Chinese tech in cars, is the global race for autonomous dominance splitting into two separate, incompatible ecosystems?
Is Lyft's rejection of camera-only AVs the first major blow to Tesla's robotaxi ambitions from a potential ride-hailing partner?

Tesla’s Full Self-Driving Under Fire: NHTSA Probes 3.2 Million Vehicles After Fatal Crashes and Legal Setbacks

Overview

Federal scrutiny of Tesla’s Full Self-Driving (FSD) technology has sharply increased, with the NHTSA escalating its investigation in March 2026 to cover 3.2 million vehicles across multiple models. This in-depth inquiry, the agency’s most detailed, aims to gather data on crashes involving new vehicle technologies to improve safety. While such investigations do not immediately penalize manufacturers, they can lead to recalls or regulatory actions. Central to the probe are concerns about Tesla’s camera-only approach to driver assistance, which critics argue may not be sufficient for safe autonomous driving, especially after several high-profile incidents.

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