This is a weaselly excuse...
for the first unecessary pedestrian death caused by a Mercedes, and they won't get away with it either.
The safety design of modern cars means that you should be able to walk away from a 30mph crash if you're inside the vehicle. You may even walk away from much faster crashes. The car *won't* be making the choice between the pedestrian and the occupants, it will be making the choice between the pedestrian and some damage to itself, plus possible minor injuries for the occupants.
Ultimately, if the car *isn't* programmed to damage itself rather than a human pedestrian, then I for one am going to give up cycling with my kids to school, sell the house and buy a traction engine for the 1.5 mile school run and then the extra 2 miles to work. I wonder how early you have to get up to stoke the fire?