Tesla, Inc. TSLA The stock took a hit Thursday after an order from the National Highways Traffic Safety Administration (NHTSA). initiate a recall of over a million vehicles about the automatic power window reversing system, which does not react correctly after detecting an obstacle.
The NHTSA said without the proper automatic backup system, a closing window could exert excessive force, pinching a commuter before it enters, increasing the risk of injury.
chairman Elon Musk took to twitter to clarify that it wasn’t that big of a problem and can be easily handled.
Passing by @stocktalkweekly, a Twitter user tweeted that this was not a physical recall, and Tesla has said it will be performing an over-the-air software update to address the issue. In response to the tweet, Musk said the terminology [recall] is “outdated and inaccurate”.
The OTA software update is tiny, he added. He also clarified that, to the best of the company’s knowledge, there had been no injuries.
The terminology is outdated and inaccurate. This is a tiny over-the-air software update. To our knowledge, there were no injuries.
— Elon Musk (@elonmusk) 09/22/2022
Tesla bull and fund manager Ross Gerber expressed a similar opinion.
“A Tesla is much more software than hardware and the complexity of what they built is difficult to understand. They update the software when problems arise,” he said.
Price promotion: Tesla closed Thursday’s session down 4.06% at $288.59 Benzinga Pro data.
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