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Elon Musk says Autopilot can have ‘significant improvements’ via software update

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Tesla Autopilot Version 7.0 Dashboard Display [Source: Tesla Motors]
Tesla owners are given the ability to 'unlock' Autopilot as an optional upgrade after purchase

Tesla CEO Elon Musk says that current Autopilot can see ‘significant improvements’ via an over-the-air software update. The announcement was made on Sunday after Musk took to Twitter to reveal that he had earlier talks with Bosch, maker of the radar equipment used on the Model S and Model X. Aside from feeling hopeful that the existing Autopilot system can be improved without hardware upgrades, Musk also thanked driver-assistance technology company MobilEye “for their help and support in making Autopilot better.”

When questioned about whether radar would be capable of detecting people – previous tests pitting a moving Tesla vs. a live human suggested that current versions of Autopilot were not great at detecting humans – Musk defended the company’s use of radar stating that radar can in fact detect humans at moderate range, however Tesla’s Autopilot suite also uses ultrasonic sensors which are “very good at human detection”.

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Musk did not provide any details on when the next update of Autopilot would arrive, but did say that Tesla Version 8.0 would be the company’s largest software release since the first rollout of Autopilot 1.0.

Musk also took the opportunity to defend his position on Autopilot after Consumer Reports criticized Tesla for releasing the auto-steering feature within the Autopilot suite. CR along with mass media have continued to put pressure on the Silicon Valley automaker and energy company to reconsider the use of beta software after Joshua Brown was killed when his Model S driving on Autopilot collided with a tractor trailer.

Musk posted a link to the a great write up by a Tesla owner on TMC who shared his thoughts on Autopilot. He also tweeted praise on an article in The Guardian entitled “The First Self-Driving Car Fatality Proves Nothing.”, by John Naughton. The author quite correctly points out, “In the US, about 33,000 people are killed in automobile accidents every year. That’s 90 a day on average. So on 7 May, about 89 other people as well as Joshua Brown were killed in car crashes. But we heard nothing about those 89 personal and family tragedies: the only death that most people in the US heard about was Mr Brown’s.”

Media and even the US Senate want to get in on the Tesla bashing fun. The New York Times claims “the race by automakers and technology firms to develop self-driving cars has been fueled by the belief that computers can operate a vehicle more safely than human drivers. But that view is now in question after the revelation on Thursday that the driver of a Tesla Model S electric sedan was killed in an accident when the car was in self-driving mode.”

Really, asks Naughton? He refers to a recent report by the Rand Corporation that says, “[F]ully autonomous vehicles would have to be driven hundreds of millions of miles and sometimes hundreds of billions of miles to demonstrate their safety in terms of fatalities and injuries. Under even aggressive testing assumptions, existing fleets would take tens and sometimes hundreds of years to drive these miles — an impossible proposition if the aim is to demonstrate performance prior to releasing them for consumer use.

“Our findings demonstrate that developers of this technology and third-party testers cannot simply drive their way to safety. Instead, they will need to develop innovative methods of demonstrating safety and reliability. And yet, it may still not be possible to establish with certainty the safety of autonomous vehicles.

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“Therefore, it is imperative that autonomous vehicle regulations are adaptive — designed from the outset to evolve with the technology so that society can better harness the benefits and manage the risks of these rapidly evolving and potentially transformative technologies.”

The hope here is that concerns about Autopilot do not turn into a media driven maelstrom. If Musk’s tweets are any indication, Tesla is laser-focused on bringing about its next generation Autopilot 2.0.

"I write about technology and the coming zero emissions revolution."

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Elon Musk

Tesla confirmed HW3 can’t do Unsupervised FSD but there’s more to the story

Tesla confirmed HW3 vehicles cannot run unsupervised FSD, replacing its free upgrade promise with a discounted trade-in.

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Tesla has officially confirmed that early vehicles with its Autopilot Hardware 3 (HW3) will not be capable of unsupervised Full Self-Driving, while extending a path forward for legacy owners through a discounted trade-in program. The announcement came by way of Elon Musk in today’s Tesla Q1 2026 earnings call.

The history here matters. HW3 launched in April 2019, and Tesla sold Full Self-Driving packages to owners on the understanding that the hardware was sufficient for full autonomy. Some owners paid between $8,000 and $15,000 for FSD during that period. For years, as FSD’s AI models grew more demanding, HW3 vehicles fell progressively further behind, eventually landing on FSD v12.6 in January 2025 while AI4 vehicles moved to v13 and then v14. When Musk acknowledged in January 2025 that HW3 simply could not reach unsupervised operation, and alluded to a difficult hardware retrofit.

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The near-term offering is more concrete. Tesla’s head of Autopilot Ashok Elluswamy confirmed on today’s call that a V14-lite will be coming to HW3 vehicles in late June, bringing all the V14 features currently running on AI4 hardware. That is a meaningful software update for owners who have been frozen at v12.6 for over a year, and it represents genuine effort to keep older hardware relevant. Unsupervised FSD for vehicles is now targeted for Q4 2026 at the earliest, with Musk describing it as a gradual, geography-limited rollout.

For HW3 owners, the over-the-air V14-lite update is welcomed, and the discounted trade-in path at least acknowledges an old obligation. What happens next with the trade-in pricing will define how this chapter ultimately gets written. If Tesla prices the hardware path fairly, acknowledges what early adopters are owed, and delivers V14-lite on the June timeline it committed to today, it has a real opportunity to convert one of the longest-running sore subjects among early adopters into a loyalty story.

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Tesla isn’t joking about building Optimus at an industrial scale: Here we go

Tesla’s Optimus factory in Texas targets 10 million robots yearly, with 5.2 million square feet under construction.

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Tesla’s Q1 2026 Update Letter, released today, confirms that first generation Optimus production lines are now well underway at its Fremont, California factory, with a pilot line targeting one million robots per year to start. Of bigger note is a shared aerial image of a large piece of land adjacent to Gigafactory Texas, that Tesla has prominently labeled “Optimus factory site preparation.”

Permit documents show Tesla is seeking to add over 5.2 million square feet of new building space to the Giga Texas North Campus by the end of 2026, at an estimated construction investment of $5 billion to $10 billion. The longer term production target for that facility is 10 million Optimus units per year. Giga Texas already sits on 2,500 acres with over 10 million square feet of existing factory floor, and the North Campus expansion is being built to support multiple projects, including the dedicated Optimus factory, the Terafab chip fabrication facility (a joint Tesla/SpaceX/xAI venture), a Cybercab test track, road infrastructure, and supporting facilities.

Credit: TESLA

Texas makes strategic sense beyond the existing infrastructure. The state’s tax structure, lower labor costs relative to California, and the proximity to Tesla’s AI training cluster Cortex 1 and 2, both located at Giga Texas and now totaling over 230,000 H100 equivalent GPUs, means the Optimus software stack and the factory producing the hardware will share the same campus. Tesla’s Q1 report also confirmed completion of the AI5 chip tape out in April, the inference processor designed specifically to power Optimus units in the field.

As Teslarati reported, the Texas facility is intended to house Optimus V4 production at full scale. Musk told the World Economic Forum in January that Tesla plans to sell Optimus to the public by end of 2027 at a price between $20,000 and $30,000, stating, “I think everyone on earth is going to have one and want one.” He has previously pegged long term demand for general purpose humanoid robots at over 20 billion units globally, citing both consumer and industrial use cases.

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Investor's Corner

Tesla (TSLA) Q1 2026 earnings results: beat on EPS and revenues

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Credit: Tesla

Tesla (NASDAQ: TSLA) reported its earnings for the first quarter of 2026 on Wednesday afternoon. Here’s what the company reported compared to what Wall Street analysts expected.

The earnings results come after Tesla reported a miss on vehicle deliveries for the first quarter, delivering 358,023 vehicles and building 408,386 cars during the three-month span.

As Tesla transitions more toward AI and sees itself as less of a car company, expectations for deliveries will begin to become less of a central point in the consensus of how the quarter is perceived.

Nevertheless, Tesla is leaning on its strong foundation as a car company to carry forward its AI ambitions. The first quarter is a good ground layer for the rest of the year.

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Tesla Q1 2026 Earnings Results

Tesla’s Earnings Results are as follows:

  • Non-GAAP EPS – $0.41 Reported vs. $0.36 Expected
  • Revenues – $22.387 billion vs. $22.35 billion Expected
  • Free Cash Flow – $1.444 billion
  • Profit – $4.72 billion

Tesla beat analyst expectations, so it will be interesting to see how the stock responds. IN the past, we’ve seen Tesla beat analyst expectations considerably, followed by a sharp drop in stock price.

On the same token, we’ve seen Tesla miss and the stock price go up the following trading session.

Tesla will hold its Q1 2026 Earnings Call in about 90 minutes at 5:30 p.m. on the East Coast. Remarks will be made by CEO Elon Musk and other executives, who will shed some light on the investor questions that we covered earlier this week.

You can stream it below. Additionally, we will be doing our Live Blog on X and Facebook.

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