Tesla Faces Investor Lawsuit Over Alleged Misrepresentation of Robotaxi Capabilities

Tesla shareholders have filed a class action lawsuit against the electric vehicle giant, alleging the company misled investors about its autonomous driving technology and Robotaxi service viability. The legal action, initiated by Levi & Korsinsky on August 4, 2025, claims Tesla artificially inflated its stock price through optimistic projections about its Full Self-Driving software between April 2023 and June 2025.

The controversy centers on Tesla's June 2025 launch of a geofenced Robotaxi service in Austin, Texas using modified Model Y vehicles. While positioning itself as a leader in autonomous mobility, the company now faces scrutiny over whether its technological claims matched operational reality. Market analysts suggest the lawsuit could impact investor confidence in tech-driven transportation ventures.