Tesla has rebranded its Full Self-Driving (Supervised) system in Europe to Assisted Driving, following intervention from German regulators who deemed the original name misleading.
The German Federal Ministry of Transport stated Tuesday that Tesla's system does not "take over the entire driving task" and functions only as a driver-assistance tool for specific functions—accelerating, braking and steering—requiring constant driver attention.
In the United States, Tesla retains the Full Self-Driving (Supervised) branding, offering the package to owners for $99 monthly. The rebrand underscores a fundamental gap in Tesla's commercial strategy: the company derives recurring revenue from advanced driver-assistance features by marketing them as autonomous capabilities, a pitch that regulators—particularly in Europe—increasingly reject.
Tesla has lobbied European automotive regulators, especially in the Netherlands, for swift approval of its system. The Dutch regulator RDW approved Tesla FSD for European release, a decision that has drawn criticism from autonomous systems experts.
Missy Cummings, an engineering professor at George Mason University and autonomous systems expert, said the rebrand alone is insufficient to ensure safe deployment in Europe. Cummings noted that European agencies are disregarding ongoing National Highway Traffic Safety Administration investigations into Tesla FSD and said the EU is "struggling to keep up in the AI marketplace," with Elon Musk "bullying them as a result."
Cummings criticized the RDW's approval based on what she called "secretive data" and called for public transparency in any autonomous transportation system approval.
In the United States, the NHTSA is investigating Tesla's FSD, focusing on system performance in reduced visibility conditions and whether FSD use correlates with traffic violations and collisions.
Legal challenges compound regulatory pressure. In December 2025, a California judge found Tesla engaged in deceptive marketing by implying Autopilot and FSD were fully automated systems. Tesla has countersued the California Department of Motor Vehicles seeking removal of a "false advertiser" designation; litigation remains pending.
Tesla reported 1.48 million active FSD subscriptions in its second-quarter earnings, but did not disclose how many stemmed from free trials or promotional offers, leaving the true revenue contribution unclear.
