Ever since the beginning of 2021, Tesla seems to be facing a hard time in terms of its share prices. The company has been facing a lot of scrutiny from regulators from around the world. Some of the countries currently giving a hard time to Tesla are China & the USA.
Amidst facing scrutiny from the regulators, Tesla is facing yet another scrutiny from the regulators. This time, it is the federal vehicle safety regulatory authority that is going after Tesla. The data suggests that the particular regulator has launched a formal investigation against Tesla for its system for Autopilot for the electric vehicles (EVs).
The investigation has been launched by the regulator following the submission of several complaints related to crashes and accidents. According to the regulatory authority, complaints have been filed on behalf of 17 people that have run into accidents due to Tesla’s autopilot system.
The majority of the cases reported against Tesla are of people who were involved in a series of accidents and crashes. So far, only 17 cases have been reported against Tesla by the affected people. However, it is being speculated that the number of cases may be much higher than the cases that have been submitted so far.
The particular regulatory authority that has recently launched an investigation against Tesla’s autopilot system is the National Highway Traffic Safety Administration (NHTSA).
According to details, the autopilot feature offered by Tesla does not let the computer fully operate the vehicle. Instead, the auto-pilot requires input from the driver’s end in order to operate. The NHTSA has revealed that since 2018, it has been monitoring the number of crashes that have taken place as a result of the feature.
The authority has revealed that up until now, they had taken note of 11 crashes where the cars ended up crashing into more than one vehicle.
According to sources, the report around the matter was posted by the regulatory authority on Monday, August 16, 2021. In the report, the NHTSA has claimed that the problem is with the vehicles that were produced from the year 2014 to 2021. The regulatory authority has claimed that the number of vehicles they are highlighting is over 765,000.
Since the announcement of the launch of the investigation, the stock prices of Tesla have experienced a drop. The data shows that since Monday, August 16, 2021, the share prices for the company have experienced a 4.32% drop.
At present, the investigation is ongoing against the quality testing and software of the company. The regulators may impose hefty fines on Tesla over its handling of software that has been causing many issues for the drivers.