Bloomberg Tech

US Regulators Investigate Tesla Door Handles

Sep 16, 2025
Lizzie Burden, Bloomberg's UK correspondent, and Lei Chu, Chief Investment Officer at Alliance Bernstein, dive into the safety probe on Tesla's door handles, exploring its potential impact on the brand’s image and consumer trust. They also discuss Google's $7 billion investment to boost the AI economy in the UK. Additionally, Lei emphasizes the need for cautious optimism within AI investments, balancing transformative technology with market realities. The conversation sheds light on crucial industry dynamics and the regulatory landscape shaping tech innovations.
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INSIGHT

Electric Door Design Raises Systemic Risk

  • NHTSA's probe into 2021 Model Y door handles could expand beyond one model because Tesla's doors rely on electrical power across many vehicles.
  • That dependency raises systemic safety concerns similar to prior wide-ranging autopilot issues.
INSIGHT

Design Trend Could Trigger Broader Regulation

  • Tesla-inspired flush door handles have been adopted by other automakers, making the safety issue potentially industry-wide.
  • Previous recalls (e.g., Mustang Mach-E) show regulators may push broader action beyond a single model.
ADVICE

Pair AI Capital With Policy For Impact

  • Treat Google's £5–7bn UK investment as strategic seed funding to build local AI infrastructure and talent.
  • Governments and companies should pair funding with policy to attract long-term private investment.
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