top of page

Tesla avoids suspension by California regulator after corrective marketing changes

Tesla avoids a 30-day California sales suspension after agreeing to stop using the term "Autopilot" in marketing, while shifting focus to robotaxis and self-driving technology. The move resolves DMV concerns over potentially misleading claims about its driver-assistance features.

February 18, 2026

Natalia Bueno Rebolledo/Reuters

Tesla avoids suspension by California regulator after corrective marketing changes

A newly built and yet to open Tesla Supercharger station in Lost Hills, California, U.S. February 5, 2026. Tesla says the station is not connected to the electrical grid, features 84 chargers that are all fully solar-powered by solar and batteries.

Mike Blake/Reuters

Tesla TSLA.O will avoid a 30-day suspension of its dealer and manufacturer licenses in California after the U.S. electric vehicle maker stopped using the term "autopilot" in marketing of its vehicles in the state, a regulator said on Tuesday.


The reprieve from the California Department of Motor Vehicles (DMV) comes as Tesla and other EV makers grapple with a plunge in demand following the expiration of key tax credits that had boosted sales.


Tesla CEO Elon Musk has switched the company's focus toward robotaxis equipped with self-driving technology, as well as humanoid robots.


In 2022, the DMV accused Tesla of misleading consumers by using names "autopilot" and "Full Self-Driving" (FSD) for its advanced driver-assistance features.


The DMV narrowed its focus last December to the term "autopilot" as Tesla revised its use of the term "Full Self-Driving" to clarify that driver supervision is required.


The regulator had deferred an order to suspend Tesla sales in California, its biggest U.S. market, giving the EV maker additional time to address the allegations.


"Autopilot" enables Tesla vehicles to accelerate, brake and remain within their lanes on highways. "Full Self-Driving" allows vehicles to change lanes and respond to traffic signals on city streets.

-Natalia Bueno Rebolledo/Reuters

TOP BUSINESS STORIES

BIR suspends mandatory online registration seal requirement

BIR suspends mandatory online registration seal requirement

Mixed fuel price adjustments in PH set October 27

Mixed fuel price adjustments in PH set October 27

Hong Kong embraces longer Halloween celebrations to boost festive business

Hong Kong embraces longer Halloween celebrations to boost festive business

LATEST NEWS

DepEd issues school safety, learning continuity protocol for strong El Niño

DepEd issues school safety, learning continuity protocol for strong El Niño

German mountaineer dies while climbing Nepal’s Ama Dablam

German mountaineer dies while climbing Nepal’s Ama Dablam

DPWH assures smooth traffic on Maharlika Highway during Undas

DPWH assures smooth traffic on Maharlika Highway during Undas

bottom of page