Tesla sues California DMV after it banned the term 'Autopilot'

Engadget

by Steve Dent

February 24, 2026

AI-Generated Deep Dive Summary

Tesla has filed a lawsuit against California's Department of Motor Vehicles (DMV) to overturn a ruling that prohibits the automaker from using the terms "Autopilot" and "Full Self-Driving" in its marketing. The DMV initially argued that these terms misled consumers into believing Tesla vehicles could operate safely without human intervention, despite the company's claims that drivers are always required to supervise. In response, Tesla changed "Autopilot" to "Full Self-Driving (Supervised)" and updated its marketing language. However, the automaker asserts that the DMV failed to provide evidence of consumer confusion and labels the ruling as "factually wrong" and unconstitutional. The case highlights Tesla's reliance on autonomous driving technology, which is central to its future. CEO Elon Musk has repeatedly emphasized the potential for fully autonomous vehicles, even predicting a million robo-taxis on the road within a year. However, Tesla faces challenges, including a significant drop in sales last year, particularly in Europe, and ongoing legal battles related to the use of these terms. For instance, Tesla recently lost an appeal over a $243 million lawsuit tied to a 2019 Model S crash, which partly hinged on the wording of its driver-assistance features. The lawsuit also reflects broader tensions between regulators and tech companies over marketing practices for autonomous systems. While Tesla argues that its updated terminology avoids misleading consumers, critics maintain that any use of terms like "Autopilot" risks public safety by downplaying the need for human oversight. This legal battle could set a precedent for how automakers communicate about their self-driving technologies to the public. In addition to its legal efforts, Tesla is doubling down on its autonomous driving initiatives. The company has launched limited testing

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Originally published on Engadget on 2/24/2026