A survey indicates that more U.S. consumers are turned off by Tesla's FSD than attracted to it. Only 14% said FSD would make them more likely to buy a Tesla, while 35% said it would make them less likely.
Tesla's Robotaxi service in Austin has expanded, but the actual fleet size remains small (estimated at around 30 vehicles), raising questions about its scalability and impact.
Concerns exist regarding the safety and regulatory oversight of autonomous vehicles, with nearly half of consumers surveyed believing FSD technology should be illegal. Consumers want AV manufacturers responsible for accidents and stricter regulatory guardrails around features such as FSD.
Tesla's brand reputation has declined, potentially due to concerns about FSD, Elon Musk's public persona, and recent product liability lawsuits.
Why does this matter? These insights highlight the challenges Tesla faces in gaining consumer trust and achieving widespread adoption of its autonomous driving technology. The skepticism surrounding FSD could impact Tesla's sales and its ability to compete in the rapidly evolving autonomous vehicle market.
The Electric Vehicle Intelligence Report for August 2025, conducted by Slingshot Strategies, reveals that a significant portion of U.S. consumers are wary of Tesla's FSD. The survey of 8,000 Americans showed that only 14% were more likely to buy a Tesla because of FSD, while 35% were less likely. 51% reported it made no difference. This negative perception is further compounded by the fact that nearly half of those surveyed believe FSD technology should be illegal. [Read Slingshot's full Electric Vehicle Intelligence Report for August 2025 here?ref=yanuki.com].
Tesla has been expanding its Robotaxi service in Austin, but the scale of the operation is limited. While Tesla announced a 50% increase in its Robotaxi fleet, the initial size was never confirmed. Estimates suggest the fleet has only grown from approximately 20 to 30 vehicles. In comparison, Waymo already operates over 100 vehicles in Austin. This disparity raises questions about Tesla's ability to compete effectively in the autonomous ride-hailing market.
Consumer concerns about the safety and regulation of autonomous vehicles are growing. Most consumers polled want clear and strong regulations in the U.S. governing autonomous vehicles, whether they're fully or partially automated. Tesla's brand reputation has also suffered, with an increasing number of consumers viewing Tesla cars as unsafe. This decline is likely due to a combination of factors, including concerns about FSD, Elon Musk's public persona, and recent product liability lawsuits.
Q: What is Tesla FSD?
Tesla Full Self-Driving (FSD) is a suite of advanced driver-assistance systems that offers a limited set of self-driving capabilities on residential and city streets. It is currently offered as a subscription or a one-time purchase.
Q: How safe is Tesla FSD?
Tesla advises drivers to keep their hands on the wheel and be ready to take over, but there are safety concerns.
Q: How does Tesla's Robotaxi service work?
Tesla's Robotaxi service operates in Austin, Texas, with Tesla employees in the front passenger seats ready to stop the car at any moment. It uses a supervised version of Tesla's FSD technology.
Here's what this means for you:
Think twice about FSD:: Be cautious about the capabilities and limitations of Tesla's FSD technology. It is not fully autonomous and requires constant driver supervision.
AV regulations are coming:: Expect increased regulatory scrutiny of autonomous vehicles and driver-assistance systems. This could lead to stricter standards and requirements for manufacturers.
Tesla's got challenges:: Tesla faces significant challenges in gaining consumer trust and achieving widespread adoption of its autonomous driving technology.
Do you think Tesla can overcome the challenges facing its FSD technology? Let us know in the comments below!
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