Ross Gerber, co-founder of investment firm Gerber Kawasaki, issued a stern warning on Wednesday regarding the safety of Tesla Inc.’s (NASDAQ:TSLA) autonomous driving software.
Gerber’s comments come on the heels of a legal setback for the EV maker involving its Autopilot system.
Mad Max’s Safety Concerns
In a post on Wednesday on X (formerly Twitter), Gerber addressed backlash from Tesla supporters while doubling down on his safety concerns.
“Tesla people seem triggered that I think it’s a bad idea to have a self driving profile that is basically unsafe,” Gerber stated.
The investor specifically highlighted the “Mad Max” mode, a high-speed profile introduced in the FSD V14.1.2 update. The mode reportedly allows for higher speeds and more frequent lane changes than the “Hurry” profile. “Mad Max mode might actually kill someone as drives too fast and erratic,” Gerber warned.
The $240 Million Liability Factor
Gerber’s critique linked the aggressive driving mode to Tesla’s recent legal troubles. “Tesla just had to pay $240 million for liability for someone who died while using autopilot,” Gerber noted, referencing a high-profile Florida case.
On Feb. 20, U.S. District Judge Beth Bloom upheld a $243 million jury verdict against Tesla stemming from a 2019 fatal crash in Key Largo.
The crash occurred when a Model S on Enhanced Autopilot accelerated through an intersection at over 60 mph, killing 22-year-old Naibel Benavides. Judge Bloom stated that evidence “more than supports” the jury’s finding of liability.
Stagnation in FSD Improvements
This is not Gerber’s first critique of the hardware-software suite. On Feb. 18, Gerber posted on X that “Things don’t seem to be improving” regarding FSD performance, suggesting Elon Musk‘s firm may need “hardware adjustments.”
His comments followed reports from Electrek that Tesla’s Robotaxi fleet in Austin, Texas, recorded five crashes in a single month.
These incidents have fueled speculation that Tesla might eventually need to adopt LiDAR, a technology used by Alphabet Inc. (NASDAQ:GOOGL) (NASDAQ:GOOG) and Rivian Automotive Inc. (NASDAQ:RIVN).
Regulatory and Competitive Pressure
While Musk remains bullish on the Cybercab and what he has called the “largest autonomous fleet,” Tesla’s FSD system continues to face scrutiny from the National Highway Traffic Safety Administration.
In October, the agency opened a probe into roughly 2.88 million vehicles following reports of more than 50 safety-related incidents.
The launch of Tesla’s aggressive “Mad Max” driving mode—seen in videos weaving through traffic at speeds above 80 miles per hour—has added to concerns around driver safety and regulatory oversight.
Image via Shutterstock
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