Tuesday, December 23, 2025

Amazon Recalls 332 Zoox Vehicles Over Self-Driving Software Fault

This article first appeared on GuruFocus.

Amazon (AMZN, Financials) is recalling 332 self driving vehicles from its Zoox subsidiary after identifying a software flaw that could cause the autonomous cars to enter oncoming lanes, according to the U.S. National Highway Traffic Safety Administration.

The issue affected versions of Zoox’s automated driving system (ADS) released before Dec. 19. Regulators said the software could cause vehicles to cross yellow center lines or stop in front of oncoming traffic near intersections, increasing the risk of collisions.

Zoox sent out a free software update to fix the issue. In May, the firm recalled 270 cars after an incident in San Francisco that resulted to changes to make pedestrian detection and safety procedures better.

The new recall came months after the NHTSA approved Zoox for public road demonstrations. This ended an inquiry into its safety compliance in 2022.

As Amazon, Alphabet’s Waymo, and Tesla push toward self-driving vehicles, the government is paying more attention. Investors will be watching Amazon’s plans to sell Zoox’s robotaxi service, which is expected to continue testing until 2026.

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