The California Department of Motor Vehicles (DMV) seems to want Tesla to advertise its Autopilot and Full Self-Driving (FSD) features to consumers.
According to a report by the LA Times. the DMV isn’t too happy about Tesla’s use of the terms, Autopilot and FSD. And the state agency is also upset about Tesla’s description of how Navigating on Autopilot from home works.
According to the article, the California DMV thinks the following paragraph found on Tesla’s website was misleading.
“All you will need to do is get in and tell your car where to go. If you don’t say anything, your car will look at your calendar and take you there as the assumed destination. Your Tesla will figure out the optimal route, navigating urban streets, complex intersections, and freeways.”
Is this really misleading, though?
That particular paragraph is part of Tesla’s description of its Autopilot and FSD features. Having seen FSD in action for myself, I’ve seen it actually do this. I’ve ridden with friends who have FSD Beta and they would speak into the microphone and tell the car where to go. And the car would go there.
The only issue is that this technology is still in Beta and the driver needs to be very aware of their surroundings. This means paying attention to the road. And in some cases, I have seen my friends take over safely.
However, I’ve also witnessed FSD stop for cyclists and pedestrians which many human drivers all too often don’t do.
As someone who doesn’t own a car, I’ve been almost hit quite a few times. If it wasn’t for my paying attention to my surroundings, I’d probably have won a few lawsuits and hospital stays. Perople really don’t pay attention when behind the wheel.
The California DMV’s Solution: Making Tesla advertise or “educate consumers”
They seek to make Tesla add more disclaimers / training for users. Seems like a non-issue. Their main issue seems to be the Full Self-Driving name as Tesla doesn’t actually advertise. https://t.co/hole8WMSx0
— Whole Mars Catalog (@WholeMarsBlog) August 5, 2022
If the DMV gets its way, it could revoke Tesla’s licenses to make and sell EVs in the state. I don’t have to tell you how bad this would be for jobs.
The article noted that these “remedies” would probably be “softer.” A DMV spokesperson told the LA Times that it will ask that Tesla be required to advertise the capabilities of Autopilot and FSD to consumers.
“The DMV will ask that Tesla will be required to advertise to consumers and better educate Tesla drivers about the capabilities of its ‘Autopilot’ and ‘Full Self-Driving’ features, including cautionary warnings regarding the limitations of the features, and for other actions as appropriate given the violations.”
In essence, the DMV is trying to force Tesla to buy advertising for its products and services.
Bloomberg noted that Tesla has 15 days to respond to the DMV if it wants to dispute or defend itself. It should also be noted that Tesla is one of the state’s largest employers with over 45,000 employees.
California isn’t too fond of Tesla at all, it seems
California already lost Tesla headquarters following the drama from 2020. CA Assemblywoman Lorena S. Gonzales made it very clear that Elon Musk and Tesla, a leading job provider, weren’t welcome in the state.
Although Tesla didn’t close down its factories in California, the company relocated its headquarters to Austin following Elon Musk’s personal decision to move to the Texas capital.
Message received
— Elon Musk (@elonmusk) May 11, 2020
Personally, I don’t blame him for moving out of a state where government officials are openly hostile toward Elon Musk. I’d leave, too. And the move has proven to be very beneficial for both Tesla and Texas.
Following the relocation, Tesla seems to be doing very well and recently opened Giga Texas in April. Tesla has also been working closely with the Texas Public Utility Commission (PUC) and the Electric Reliability Council of Texas (ERCOT).
Reducing the stress on the Texas grid would help Texans during the intense heat and winters. And it would encourage the largest oil-producing U.S. state to openly embrace renewables. Tesla being in Texas is a great thing for both as well as the South.
Tesla just gave what is perhaps its biggest signal yet that the launch of the Cybercab, its autonomous ride-hailing-geared car, is imminent.
The Cybercab has been spotted outside of Gigafactory Texas in massive numbers over the past few days, with hundreds of units being stored on property just days after the vehicle received a Certificate of Conformity from the EPA.
Today, things were a bit different.
Cybercabs spotted on Giga Texas property today had an addition: a Cybercab decal on the side, reminiscent of the “Robotaxi” ones that were placed on Model Ys just as the company launched its ride-sharing platform about a year ago.
Giga Texas drone operator Joe Tegtmeyer noticed the change today:
Tesla Cybercabs are now getting “Cybercab” logos on the side of them!
Tesla did the same with Model Ys that were given “Robotaxi” logos: https://t.co/DanANtw1m7 pic.twitter.com/FqOhH0S9Ks
— TESLARATI (@Teslarati) June 19, 2026
Tesla could be signaling that the Cybercab is preparing to enter the Robotaxi fleet in the coming weeks or months with this move. It seems more symbolic than anything; Tesla is ready to throw Cybercabs in the ride-hailing platform just as it did with Model Ys last year.
The addition of the Certificate of Conformity awarded to the Cybercab is another major factor working to Tesla’s advantage. The company now has permission from the EPA to allow the vehicle to operate on public roads and enter the chain of commerce. It’s officially street legal.
Tesla Cybercab specs revealed: range, curb weight, range ratings, and more
The big question that remains is whether Tesla will be able to operate the car without a safety monitor, especially considering it plans to put the car out there without a steering wheel or pedals. With the Cybercab only having a seating capacity of two, it is hard to believe Tesla will even consider putting a Safety Monitor in the car.
It did recently self-certify as Level 4 and has the ability to operate driverless vehicles in the State of Texas under a law that took effect on May 28. You can read more about that here:
Tesla’s Robotaxi dreams just took a massive step toward reality
We’d imagine Cybercabs will be on the roads as soon as July, but August will likely be a better estimate of when the car will be entered into the Cybercab fleet. It all depends at where Tesla is, as they’ve truly prioritized safety with the rollout of the Robotaxi platform.
Elon Musk has publicly questioned Moody’s credit assessments following the rating agency’s decision to assign SpaceX a Baa1 investment-grade rating, two notches above Tesla’s Baa3. The comments came amid discussions comparing the two companies’ financial profiles.
SpaceX earned its first-time Baa1 rating with a stable outlook from Moody’s. The agency highlighted the company’s leadership in orbital launches, the growing recurring revenue from its Starlink satellite network, strong vertical integration, U.S. government contracts, and emerging opportunities in AI infrastructure.
These factors were cited as supporting robust cash flows, margin expansion, and financial flexibility.
Musk responded directly: “Tesla’s credit rating is ridiculously low tbh,” and added, “Yeah, makes no sense. Tesla has over $40B in cash, no debt, and is consistently profitable!” His remarks underscored Tesla’s balance sheet strength and profitability at a time when many traditional automakers continue to report losses in the shift to electric vehicles.
Yeah, makes no sense.
Tesla has over $40B in cash, no debt and is consistently profitable!
— Elon Musk (@elonmusk) June 19, 2026
Tesla maintains a leading position in the global EV market, with diversification into energy and storage, battery technology, and robotics through projects like Optimus. Recent financial updates show the company generated positive free cash flow of $1.4 billion in Q1 2026, supported by operating cash flow of $3.9 billion. Cash and short-term investments stood at approximately $44.7 billion.
Moody’s has affirmed Tesla’s Baa3 issuer rating with a stable outlook in periodic reviews, acknowledging the company’s EV leadership, technology strengths, including AI for autonomous vehicles, solid profitability, and strong liquidity.
Tesla (TSLA) scores Baa3 Moody’s rating for ‘stable’ outlook
However, the agency has also noted challenges in the automotive segment and expectations for margin pressures.
Musk’s critique highlights a common debate about how traditional rating methodologies apply to high-growth, capital-intensive technology companies. SpaceX benefits from long-term government-backed contracts and diversified, recurring revenue streams, while Tesla’s valuation reflects heavy investment in future technologies such as autonomy and robotics.
Both ratings remain investment-grade, yet the one-notch difference has fueled online discussion about potential inconsistencies in evaluating innovative firms.
The exchange comes as SpaceX explores financing options following its recent valuation milestones, while Tesla continues executing on its multi-year roadmap. Musk’s pointed response serves as a reminder that credit ratings, though influential for borrowing costs, represent one lens through which markets assess corporate strength—and that company leaders often view their financial positions through the lens of long-term innovation and cash generation rather than short-term risk metrics alone.
A new report from Reuters claims that a transport authority in Sweden is pushing back against the approval of Tesla’s Full Self-Driving suite because it will travel over speed limits.
The report says the Swedish Transport Administration (TRV) recommends the European Union votes against FSD’s approval. TRV believes it should not be approved until Tesla disables FSD’s ability to speed.
TRV sent a letter to the European Union’s Technical Committee on Motor Vehicles (TCMV), which is set to meet on June 30 to discuss the potential approval of the Tesla FSD suite in the country. Tesla, which has received various approvals in Europe over the past two months, has not provided a comment.
Teslas operating on FSD do travel over the speed limit, depending on the Speed Profile that is chosen. Drivers have the ability to disengage FSD at any point; Tesla specifically states that those supervising the suite are responsible for its actions.
Let’s cut to the chase: humans operating any vehicle speed almost daily in the United States. Realistically, speed limits in the U.S. are more frequently treated as speed minimums. However, other countries are different, and driving behaviors are less aggressive.
TRV believes that “allowing automated systems to systematically exceed legal speed limits…risks undermining both the legal framework and the expected safety benefits of vehicle automation,” the report stated. It’s surprising that Tesla has not received this claim from other countries previously.
This could be a good argument to bring Max Speed back, the setting that previously allowed the driver to choose the absolute fastest the car would travel.
This would still put the responsibility of supervision in the hands of the driver. It would allow the driver to choose whether the car would travel over the speed limit or not, acknowledging that they set the speed, and if they get pulled over, there would be no ability to argue it.
However, it does not seem as if this is something Tesla will do, especially considering many U.S. drivers have requested the feature in an effort to eliminate speeding or at least tone it down. The company has not shown any interest in bringing it back.
Tesla has approvals for FSD in Europe in Estonia, Lithuania, Denmark, the Netherlands, and Belgium.
Tesla Cybercab launch is imminent after latest sighting at Giga Texas
Elon Musk says this part of Tesla ‘makes no sense’
