The Department of Justice and the Securities and Exchange Commission are probing Tesla for possible securities and wire fraud.

Investigations center on whether Tesla falsely represented its Autopilot and 'Full Self-Driving Beta' features to consumers and investors.

Concerns have been raised about the safety of Tesla's automated driving assists following crashes and user misuse.

The repercussions for Tesla and CEO Elon Musk are currently undetermined but could be substantial.

Tesla is also facing internal challenges, including layoffs, a hiring freeze, and employee welfare concerns.

Regulatory scrutiny and the validation of Tesla's self-driving technology are ongoing issues amidst broader concerns like declining EV demand and ambiguous robotaxi strategies.

Tesla's market value is under pressure as the stock drops amid these federal investigations.