I think this is the root of the issue. Tesla is really intent on saying it's all fully self-driving when it's
only at tier 2 or 3 of six. Germany actually hit them in court
over the name being misleading. If they just called it what it is (a really, really impressive driver assist) the issue would go away, but that doesn't make for as great marketing.
The names are misleading, but changing that won't solve the problems. Tesla owners will still operate their Level 2 systems irresponsibly, and current Tesla cars don't adequately safeguard against misuse, and everyone has known this for years.
IIRC the story goes that originally Waymo was interested in developing Level 2 or 3 autonomy, but in early testing, they realized that humans could not safely operate these limited systems. They'd treat a Level 2 system like it was Level 4, which is basically what Tesla drivers do with FSD. So Waymo pivoted to trying to develop Level 5 autonomy, which has proven to be incredibly challenging.
If you renamed FSD to Partial Self-Driving, Tesla boys would still misuse their toys. It's not the name alone that's the problem. As for the AutoPilot investigation in particular, it's auto e-braking that's not working as intended. How does changing AEB to Semi-automatic Emergency E-braking fix that?