Tesla Files Recall On 2 Million Vehicles To Fix Autopilot Software

Electric car maker Tesla has initiated a recall of over two million vehicles in the United States due to a risk linked to its autopilot software, the US traffic safety regulator said Wednesday.

The recall affects models across Tesla's portfolio and will be addressed by an "over-the-air software remedy" typically performed remotely and not involving a trip to a repair shop.

"While not concurring with the agency's analysis," Tesla agreed to "voluntarily administer a recall," to resolve the matter, said an official notice by the National Highway Traffic Safety Administration

Tesla Chief Executive Elon Musk has spoken bullishly over the years of the potential for autos to reach full autonomy, but the company's official guidelines says drivers must remain at the wheel while using Autopilot.

After a two-year probe, NHTSA found that Autopilot "can provide inadequate driver engagement and usage controls that can lead to foreseeable misuse of the system."

If autopilot is used incorrectly or if the driver fails to recognize that the function is activated, the risk of an accident could be higher, a NHTSA spokesperson said.

"NHTSA's investigation remains open as we monitor the efficacy of Tesla's remedies and continue to work with the automaker to ensure the highest level of safety," the spokesperson said.

"Automated technology holds great promise for improving safety but only when it is deployed responsibly; today's action is an example of improving automated systems by prioritizing safety.

Tesla did not respond to an AFP request for comment.

The recall covers 2.03 million Tesla vehicles and includes the Models S, X, Y and 3.

Tesla says Autopilot should be used by "a fully attentive driver, who has their hands on the wheel, according to its website.

But the program's name has been criticized as misleading, and widely-seen social media posts have featured joy rides by users flouting the official guidelines.

Critics, such as Jennifer Homendy head of the National Transportation Safety Board, a US watchdog agency, criticized both Tesla and the NHTSA for not taking safety seriously regarding Autopilot's vulnerabilities.

Under the "over-the-air update" remedy, the company will install additional alerts to encourage drivers to keep their hands on the steering wheel and pay attention to the road.

Depending on hardware, the upgrade could include checks upon the users engagement of Autosteer "and eventual suspension from Autosteer use if the driver repeatedly fails to demonstrate continuous and sustained driving responsibility while the feature is engaged," according to the NHTSA document.

Shares of Tesla dropped 1.7 percent in early trading.

CFRA Research analyst Garrett Nelson called the Tesla action "a non-event," adding that "headlines calling this a 'recall' are misleading. Instead, it is a quick over-the-air update of Autopilot software."

But Neil Saunders of GlobalData rated the news as "something of a setback" for Tesla.

"While Tesla refutes some of the NHTSA's claims, this will raise some questions in consumer minds about technology around self-driving and driver assistance," Saunders said. "Given that the problems can be resolved via a software update this isn't a financial disaster for Tesla and the issues should be quickly fixed."

US-based Tesla has been hit with several lawsuits stemming from car accidents, and its driver-assistance technology has provoked regulatory probes.

Tesla's Autopilot program has also spurred numerous media exposes focusing on misuse or vulnerabilities.