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Tesla Owners Start Legal Action over Elon Musk’s Broken Self-Driving Promises

Tesla Owners Start Legal Action over Elon Musk's Broken Self-Driving Promises

International Backlash Against Tesla’s Self-Driving Promises

Criticism of Elon Musk’s Tesla is intensifying as car owners allege the company charged them significant amounts for self-driving technology that hasn’t materialized.

Take Tom Rosavio, for instance. He is a loyal Tesla supporter and has recently turned against Musk. Rosavio bought a Tesla Model S in 2017, shelling out over $100,000, and paid an additional $8,000 for what was promised as lifetime access to advanced driver assistance features. Musk had assured customers that the hardware would enable full autonomy in the future.

“My wife and I imagined how amazing it would be to just relax while the car took us where we wanted to go,” said Rosavio. Fast forward nine years, and he feels deceived. The 80-year-old retired lawyer is now leading a class action lawsuit against Tesla, asserting that customers were charged thousands for product enhancements that weren’t actually available when they purchased them and still don’t perform as advertised. The lawsuit claims that Musk and Tesla repeatedly misrepresented the capabilities of their self-driving technologies and seeks reimbursements for anyone who bought or leased Tesla EVs between 2016 and 2024. It also aims to prevent Tesla from marketing its cars as fully autonomous.

Rosavio successfully achieved class action status in September, representing around 3,000 Californians, excluding numerous owners who have signed arbitration agreements. Tesla is challenging this certification, and it will be up to a judge in the Ninth Circuit to decide if Rosavio can lead this group.

The dissatisfaction isn’t limited to the U.S. An Australian law firm has initiated a class action lawsuit against Tesla for allegedly selling defective vehicles that can’t support full self-driving capabilities. In the Netherlands, Tesla owner Mischa Sigtelmans recently started a campaign aimed at uniting European buyers. Sigtelmans invested 68,000 euros in a Model 3 Performance in 2019 and additional 6,400 euros for the full self-driving feature, yet he still can’t utilize this option due to regulatory restrictions in the Netherlands.

“We believed in their capability to deliver,” Sigtelmans remarked. “I didn’t think it would take seven years, but it just hasn’t delivered as promised.”

These situations raise doubts about Musk’s long-promoted narratives. Even though Tesla’s share of the electric vehicle market is decreasing, the company’s stock remains robust, with its market value outstripping most automakers. Estimates suggest that millions of Teslas on the road are equipped with outdated hardware unable to run the latest self-driving software. Tesla has not commented on these assertions.

Tesla vehicles utilize cameras and onboard computers—and previously ultrasonic sensors and radar—to assist in tasks like steering, braking, and acceleration, all while still under human control. The most advanced driver assistance feature is offered as a monthly subscription known as Full Self-Driving (Supervised), which the company claims enables the vehicle to navigate various roads, change lanes, and park, still under the driver’s discretion.

The journey to this point began with earlier versions of the technology in 2014. Musk confidently stated in 2015 that Tesla cars would achieve full autonomy within two years. By 2016, the company declared that all new models would have the necessary hardware for self-driving, and Musk went so far as to say that a Tesla would drive itself from Los Angeles to New York City by the end of 2017.

“I felt really optimistic about this goal,” he asserted, indicating a planned fully autonomous drive.

That forecast hasn’t materialized. Between 2020 and 2021, Tesla began offering upgrades for its third edition (Hardware 3) of the system. Customers like Rosavio who had paid ahead received upgrades for free, while others faced potential costs of $1,000 for monthly access. In 2023, Tesla rolled out a fourth hardware upgrade, leaving previous customers once again stuck with outdated technology.

Although the company appears to be making advancements towards self-driving, launching a limited robotaxi service in Austin, Texas, and having plans for Musk’s CyberCab—a small vehicle without a steering wheel—many drivers are left wondering when—or if—Tesla will actually fulfill its promise of fully autonomous driving for most of its vehicles.

“I want to believe that I’m not foolish,” Rosavio expressed.

Meanwhile, incidents involving Tesla’s “full self-driving” software continue to be concerning. A report highlighted a viral video showing an FSD-equipped Tesla crashing through a railroad crossing barrier, putting passengers at risk.

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