California passed a new law banning Tesla from calling its software Full Self-Driving (FSD). Although Tesla has never claimed that FSD was fully autonomous, the electric–maker is developing the technology for fully autonomous vehicles. Until its vehicles are fully autonomous, drivers must be alert and ready to take over at all times when engaging FSD or Autopilot.
California lawmakers, however, disagree with the labels of FSD. Senate Bill 1398 was one of the hundreds that Governor Newsom signed into law. The new law takes effect in 2023 and specifically targets Tesla’s name for its software. The bill was sponsored by Senate Transportation Committee Chair Lena Gonzalez, who claimed that Tesla falsely advertised its tech and that doing so was a safety issue.
The bill was sponsored after the California Department of Motor Vehicles claimed that Tesla’s FSD was “false advertising.”
An excerpt from the new law reads as follows:
“A dealer or manufacturer shall not sell any new passenger vehicle that is equipped with any partial driving automation feature or provide any software update or other vehicle upgrade that adds any partial driving automation feature, without, at the time of delivering or upgrading the vehicle, providing the buyer or owner with a distinct notice that provides the name of the feature and clearly describes the functions and limitations of the feature.”
-->“A manufacturer or dealer shall not name any partial driving automation feature, or describe any partial driving automation feature in marketing materials, using language that implies or would otherwise lead a reasonable person to believe, that the feature allows the vehicle to function as an autonomous vehicle, as defined in Section 38750, or otherwise has functionality not actually included in the feature. A violation of this subdivision shall be considered a misleading advertisement for the purposes of Section 11713.”
On its website on Full Self-Driving Capability, Tesla says that all new vehicles have the hardware needed in the future for FSD.
“The system is designed to be able to conduct short and long-distance trips with no action required by the person in the driver’s seat.”
“The future use of these features without supervision is dependent on achieving reliability far in excess of human drivers, as demonstrated by billions of miles of experience, as well as regulatory approval, which may take longer in some jurisdictions.”
“As these self-driving capabilities are introduced, your car will be continuously upgraded through over-the-air software updates.”
-->FSD Beta saved me from a head on collision today. Driver of the vehicle fell asleep. @elonmusk @WholeMarsBlog @teslaownersSV @WhamBaamYT pic.twitter.com/PS4rO2tZnO
— Pushing Buttons CO (@CO_MDL3) September 29, 2022
In November, a Tesla owner involved in an accident on Thanksgiving Day claimed that FSD malfunctioned, however, police are still investigating the driver’s claims. In August, Tesla’s Autopilot Software Director, Ashok Elluswamy, shared data showing how Tesla’s Autopilot software prevents around 40 crashes daily that would have been caused by sudden unintended acceleration. Several owner accounts are crediting Autopilot and FSD for saving their lives.
Disclosure: Johnna is a $TSLA shareholder and believes in Tesla’s mission.
-->Your feedback is welcome. If you have any comments or concerns or see a typo, you can email me at johnna@teslarati.com. You can also reach me on Twitter at @JohnnaCrider1.
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Tesla Model 3 named New Zealand’s best passenger car of 2025
Tesla flipped the switch on Full Self-Driving (Supervised) in September, turning every Model 3 and Model Y into New Zealand’s most advanced production car overnight.
The refreshed Tesla Model 3 has won the DRIVEN Car Guide AA Insurance NZ Car of the Year 2025 award in the Passenger Car category, beating all traditional and electric rivals.
Judges praised the all-electric sedan’s driving dynamics, value-packed EV tech, and the game-changing addition of Full Self-Driving (Supervised) that went live in New Zealand this September.
Why the Model 3 clinched the crown
DRIVEN admitted they were late to the “Highland” party because the updated sedan arrived in New Zealand as a 2024 model, just before the new Model Y stole the headlines. Yet two things forced a re-evaluation this year.
First, experiencing the new Model Y reminded testers how many big upgrades originated in the Model 3, such as the smoother ride, quieter cabin, ventilated seats, rear touchscreen, and stalk-less minimalist interior. Second, and far more importantly, Tesla flipped the switch on Full Self-Driving (Supervised) in September, turning every Model 3 and Model Y into New Zealand’s most advanced production car overnight.
FSD changes everything for Kiwi buyers
The publication called the entry-level rear-wheel-drive version “good to drive and represents a lot of EV technology for the money,” but highlighted that FSD elevates it into another league. “Make no mistake, despite the ‘Supervised’ bit in the name that requires you to remain ready to take control, it’s autonomous and very capable in some surprisingly tricky scenarios,” the review stated.
-->At NZ$11,400, FSD is far from cheap, but Tesla also offers FSD (Supervised) on a $159 monthly subscription, making the tech accessible without the full upfront investment. That’s a game-changer, as it allows users to access the company’s most advanced system without forking over a huge amount of money.
News
Tesla starts rolling out FSD V14.2.1 to AI4 vehicles including Cybertruck
FSD V14.2.1 was released just about a week after the initial FSD V14.2 update was rolled out.
It appears that the Tesla AI team burned the midnight oil, allowing them to release FSD V14.2.1 on Thanksgiving. The update has been reported by Tesla owners with AI4 vehicles, as well as Cybertruck owners.
For the Tesla AI team, at least, it appears that work really does not stop.
FSD V14.2.1
Initial posts about FSD V14.2.1 were shared by Tesla owners on social media platform X. As per the Tesla owners, V14.2.1 appears to be a point update that’s designed to polish the features and capacities that have been available in FSD V14. A look at the release notes for FSD V14.2.1, however, shows that an extra line has been added.
“Camera visibility can lead to increased attention monitoring sensitivity.”
Whether this could lead to more drivers being alerted to pay attention to the roads more remains to be seen. This would likely become evident as soon as the first batch of videos from Tesla owners who received V14.21 start sharing their first drive impressions of the update. Despite the update being released on Thanksgiving, it would not be surprising if first impressions videos of FSD V14.2.1 are shared today, just the same.
-->Rapid FSD releases
What is rather interesting and impressive is the fact that FSD V14.2.1 was released just about a week after the initial FSD V14.2 update was rolled out. This bodes well for Tesla’s FSD users, especially since CEO Elon Musk has stated in the past that the V14.2 series will be for “widespread use.”
FSD V14 has so far received numerous positive reviews from Tesla owners, with numerous drivers noting that the system now drives better than most human drivers because it is cautious, confident, and considerate at the same time. The only question now, really, is if the V14.2 series does make it to the company’s wide FSD fleet, which is still populated by numerous HW3 vehicles.
News
Waymo rider data hints that Tesla’s Cybercab strategy might be the smartest, after all
These observations all but validate Tesla’s controversial two-seat Cybercab strategy, which has caught a lot of criticism since it was unveiled last year.
Toyota Connected Europe designer Karim Dia Toubajie has highlighted a particular trend that became evident in Waymo’s Q3 2025 occupancy stats. As it turned out, 90% of the trips taken by the driverless taxis carried two or fewer passengers.
These observations all but validate Tesla’s controversial two-seat Cybercab strategy, which has caught a lot of criticism since it was unveiled last year.
Toyota designer observes a trend
Karim Dia Toubajie, Lead Product Designer (Sustainable Mobility) at Toyota Connected Europe, analyzed Waymo’s latest California Public Utilities Commission filings and posted the results on LinkedIn this week.
“90% of robotaxi trips have 2 or less passengers, so why are we using 5-seater vehicles?” Toubajie asked. He continued: “90% of trips have 2 or less people, 75% of trips have 1 or less people.” He accompanied his comments with a graphic showing Waymo’s occupancy rates, which showed 71% of trips having one passenger, 15% of trips having two passengers, 6% of trips having three passengers, 5% of trips having zero passengers, and only 3% of trips having four passengers.
The data excludes operational trips like depot runs or charging, though Toubajie pointed out that most of the time, Waymo’s massive self-driving taxis are really just transporting 1 or 2 people, at times even no passengers at all. “This means that most of the time, the vehicle being used significantly outweighs the needs of the trip,” the Toyota designer wrote in his post.
-->Cybercab suddenly looks perfectly sized
Toubajie gave a nod to Tesla’s approach. “The Tesla Cybercab announced in 2024, is a 2-seater robotaxi with a 50kWh battery but I still believe this is on the larger side of what’s required for most trips,” he wrote.
With Waymo’s own numbers now proving 90% of demand fits two seats or fewer, the wheel-less, lidar-free Cybercab now looks like the smartest play in the room. The Cybercab is designed to be easy to produce, with CEO Elon Musk commenting that its product line would resemble a consumer electronics factory more than an automotive plant. This means that the Cybercab could saturate the roads quickly once it is deployed.
While the Cybercab will likely take the lion’s share of Tesla’s ride-hailing passengers, the Model 3 sedan and Model Y crossover would be perfect for the remaining 9% of riders who require larger vehicles. This should be easy to implement for Tesla, as the Model Y and Model 3 are both mass-market vehicles.
Tesla Model 3 named New Zealand’s best passenger car of 2025
Tesla starts rolling out FSD V14.2.1 to AI4 vehicles including Cybertruck
