I think that is worse. There are only a few hundred traffic signs in use in Europe and even I could write a supervised learning model in an afternoon that could recognize all of them with very low uncertainty. And if I had Tesla budget I could easily have a tiny portion of my workers label enough data in another afternoon.

If this is true, and Tesla does not do this, that means that somewhere up in Tesla’s chain of command somebody told their workers not to do this. That is, somebody at Tesla made the decision that Tesla cars should not be able to recognize all the traffic signs. If that is the case, this person should be held criminally liable and Tesla cars should be pulled off the market (and the roads) by regulators who are (or should be) concerned about consumer (and road) safety.