- Tesla drops Autopilot term in California to avoid license suspension.
- Brand’s new models now only come with cruise control as standard.
- EV buyers are being pushed towards $99 FSD subscriptions instead.
After years of sparring with California regulators, Tesla has agreed to stop using its famous Autopilot term in the state, neatly sidestepping a 30-day suspension that would have frozen sales in its biggest US market with nearly 180,000 deliveries last year.
More: Tesla Quietly Kills Standard Autopilot, Now Wants $99 A Month To Give It Back
The California Department of Motor Vehicles (DMV) wasn’t amused by Tesla’s marketing language, arguing that phrases like “Autopilot” and “Full Self Driving Capability”, later softened to “Full Self-Driving (Supervised)”, gave buyers the impression their cars could drive themselves. The DMV pointed out that they can’t now, and never could, operate as autonomous vehicles.
The formal accusations were filed in 2023, though regulators traced the issue back to marketing language used as early as May 2021. At the time, Tesla described its system as capable of handling short and long-distance trips with no action required by the person in the driver’s seat, a claim the DMV said crossed a legal line.
60 Days To Find A Fix
A judge agreed and proposed suspending Tesla’s dealer and manufacturer licenses for a month. That would have been awkward timing for a company trying to convince the world that robotaxis are just around the corner. The DMV offered Tesla 60 days to fix the issue before the suspension started, and instead of digging in, Tesla wisely took corrective action.
“The DMV is committed to safety throughout all California’s roadways and communities,” said DMV Director Steve Gordon. “The department is pleased that Tesla took the required action to remain in compliance with the State of California’s consumer protections.”
So Autopilot, as a marketing term, is now gone in California (though you’ll still find it on the brand’s EVs elsewhere in the world). The company had already softened Full Self Driving into Full Self Driving Supervised to make it crystal clear that, no, the car is not fully autonomous. By complying with the deadline, Tesla avoided the suspension and kept the revenue rolling in.
Autopilot Feature Phased Out
This is not just a word swap, though. We reported last month that Tesla had already begun phasing out the previously standard Autopilot system on its cars, replacing it with Traffic Aware Cruise Control and pushing buyers toward a $99 per month Full Self Driving subscription.
Lane centering that rivals include as standard now lives behind a paywall, and CEO Elon Musk has hinted that the subscription price could rise over time. From a business perspective, it’s clever, but from a branding perspective, it looks like a climbdown.
Autopilot was one of Tesla’s most recognizable terms, though it was also one due to be left behind in the coming years as the far more sophisticated FSD improves to the point where it really can deliver full self-driving.
