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Tesla FSD Beta 10.69.2.3 observations from testers

(Credit: Tesla)

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Tesla FSD version 10.69.2.3 rolled out shortly after AI Day. The latest update of Tesla’s Full Self Driving software delivers minor bug fixes. Some testers have received v10.69.2.3 and shared their observations with Teslarati

As previously noted, 10.69.2.3 is a relatively small update that addresses some minor bugs in FSD Beta. As it sometimes goes with software bug fixes, some Beta testers mentioned a new issue in the latest version that appeared to be a step or two backward. 

Road Obstacle Detection Issues

A few testers in Tesla’s FSD Beta Program reported experiencing road obstacle detection issues when their vehicles would not register particular objects in their path or directly ahead. 

For instance, beta tester Jonathan shared that his vehicle did not recognize or avoid dead animals on the road. Another beta tester experienced similar issues with gates in his community.

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“One day coming back from work I decided to see if it can get me close to the proximity of my house. I live in a gated community. The vehicle made the turn into the drive entry of the community which has two swing gates. Vehicle was almost going to go through the closed gates,” FSD Beta user Sean shared with Teslarati. “I had to tap the breaks and override the system to make it stop. It didn’t see the gates as obstacles or road blocks. I have tried this a couple of times during daylight and night time and result is the same.”

After Tesla released v10.69.2.2, a few beta testers observed that their vehicles recognized and avoided construction work sites and similar obstacles on the road. 

Left and Right Turns

A couple of beta testers mentioned issues with left and right turns, specifically during intersections. The most prominent issue FSD Tesla drivers raised about turns was their cars’ hesitation during intersections. Testers highlighted that their cars’ hesitation during intersections isn’t really a big issue until they consider the other drivers on the road. 

“Hesitates too long at intersections presumably trying to determine if/when it’s safe to proceed. This only matters to me when there are cars behind me. I feel intense pressure to push the car through (and I do). Humans do not have patience to wait on its time-table,” noted Terry, another FSD Beta tester.

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FSD Beta user Dr. Rahaman made similar observations. He noted that his Tesla would creep forward after stopping at an intersection on a red light and would take a left or right turn too slowly, sometimes irritating the drivers behind him. Dr. Rahaman specifically observed that his car entered left turn lanes late without a signal. In the past, the Tesla owner has noted that the car’s turn signals sporadically turn off and on at some intersections or turns. 

Lane Selection Issues

Tesla FSD v.10.69.2.3 doesn’t appear to address the largest issue multiple testers have pointed out over the past few weeks: lane selection. One beta tester seemed to sum up the sentiments most drivers in the Tesla FSD program have regarding lane selection. 

“Lane selection sometimes just plain wrong and dumb. Causes driving task to be harder for itself than it needs to be because it realizes (eventually, usually) it’s in the wrong lane too late and then has to get over which is harder with traffic and unlike a human who can gesture, the car can give no such signals as to its self-made predicament,” the tester commented.  

“Also, it sometimes gets into turn lane just late enough that cars behind me assume I’m continuing straight and swoop in behind me and get over immediately causing it to be even harder for my car to get over into that lane now because all slots are occupied and the road is about to end at a light,” he added. 

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Other Issues

Some other less prominent issues that a few FSD Beta testers have noted are listed below. 

1. Lane Positioning – The car hugs the double yellow lines too closely on narrow roads or sticks to the middle of the road when no lines are present. 

2. Wide turns – The Tesla car takes wide turns, far from the curb. One tester observed that his car risked hitting the guard rails and other obstacles with its wide turn. 

3. Turn Lane Issues – The car still mistakes turn lanes for driving lanes

Some testers still report experiencing phantom braking and jerkiness while taking turns. However, the one observation that seems to stick out among others came from beta tester Neeraj. 

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“Drives as if everyone is going to follow the rules 100% and is not accommodating or accounting for those who may not be going 100% as they should,” he said about FSD Beta. 

FSD Beta still has a ways to go before 100% autonomous version rolls out to the general public. Observations and tests from beta testers help Tesla improve FSD. Elon Musk teased more significant improvements in the next update, 10.69.3. Tesla hopes to release a ‘supervised’ FSD version by the end of the year. 

Have you tried out FSD Beta 10.69.2.3 yet? I’d like to hear from you! Contact me at maria@teslarati.com or via Twitter @Writer_01001101.

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Maria--aka "M"-- is an experienced writer and book editor. She's written about several topics including health, tech, and politics. As a book editor, she's worked with authors who write Sci-Fi, Romance, and Dark Fantasy. M loves hearing from TESLARATI readers. If you have any tips or article ideas, contact her at maria@teslarati.com or via X, @Writer_01001101.

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Tesla and driver sued by family of woman killed in Texas crash: what we know

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Credit: CNBC

Tesla is being sued by the family of the woman who was killed in a Texas crash involving a Model 3. The driver, who is also being sued, claimed the vehicle was operating on Autopilot mode, but Tesla executives have come out challenging that claim, stating that the driver of the vehicle overrode the system.

The lawsuit was filed by 76-year-old Martha Avila’s daughter and her husband, who allege a “design defect” involving a Tesla and a failure to warn. The suit alleges negligence against Tesla and the driver, Michael Butler.

Butler “stated he was operating with an automated driving assistance system engaged at the time of the crash,” the Harris County Sheriff’s Office said in a statement. He showed no signs of intoxication and was cooperative, the Sheriff’s Office said, according to NBC News.

Just after reports of the crash and numerous headlines that immediately blamed Tesla’s Autopilot suite, both Tesla CEO Elon Musk and Head of AI Ashok Elluswamy challenged that. Musk said the crash made “no sense” given that Tesla Autopilot and Full Self-Driving do not travel at the speeds the door cameras captured the car traveling at, which Tesla says was 73 MPH.

Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration

Elluswamy also revealed that Tesla data showed Butler overrode the system by pressing the accelerator to 100%, and that the pedal was compressed fully even after the car had crashed. Tesla has not released this data to the public, likely because it is communicating with agencies like the NHTSA on an investigation.

The suit uses a Washington Post analysis of government data that “identified at least 17 fatal incidents linked to Tesla Autopilot.”

This is far from the first time an accident has been blamed on Autopilot. A fatal crash in Texas was blamed on Autopilot several years ago, but when Tesla released data to the NTSB, which was investigating the crash, Autopilot was not available where the crash occurred, and Autosteer was never enabled, meaning the car was manually controlled at the time of the accident.

More information on the accident will be released as Tesla works with agencies to find the cause of the crash. From personal experience, it is hard to imagine Tesla Autopilot or FSD operating in this manner. It drives sometimes too cautiously in residential areas in parking lots, at least in my experience. Speeding happens, but at this rate in this type of area, it is hard to believe.

We look forward to more details being released with time.

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Cybertruck

Tesla Cybertruck is officially the safest pickup, IIHS says

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Credit: Tesla

The Insurance Institute for Highway Safety (IIHS) has awarded the 2025-2026 Tesla Cybertruck crew cab pickup its highest honor: Top Safety Pick+. This marks the Cybertruck as the only full-size pickup to achieve this distinction in recent evaluations.

The award applies specifically to vehicles built after April 2025, following structural upgrades including front underbody reinforcements and footwell modifications.

These changes enabled strong performance in updated crash tests. The Cybertruck earned “Good” ratings in the small overlap front (driver and passenger sides), updated moderate overlap front, and updated side tests—core requirements for the Top Safety Pick+ designation.

It also secured acceptable or good headlights across trims and a “Good” rating for its standard front crash prevention system in pedestrian scenarios, along with acceptable or good performance in vehicle-to-vehicle testing.

The Cybertruck avoided every single pedestrian collision, including:

  • Daytime child crossing
  • Nightitime adult crossing
  • Night parallel adult

In the large pickup category, competitors such as the Toyota Tundra received only a standard Top Safety Pick, while the Ford F-150 and Ram 1500 did not qualify for either award. This positions the Cybertruck as a standout in occupant protection and crash avoidance among its peers.

Credit: IIHS

Ironically, the same vehicle celebrated for superior U.S. safety performance remains banned from public roads in the United Kingdom and much of Europe. Regulators there cite the Cybertruck’s sharp external edges and highly rigid stainless-steel construction as failing pedestrian-protection standards. European and UK rules require rounded surfaces on protruding parts to minimize injury risk in collisions with vulnerable road users.

Critics also point to the truck’s substantial weight and unyielding body structure, which some argue could transfer more force to other vehicles or pedestrians rather than absorbing it.

Tesla’s engineering philosophy underpins the Cybertruck’s strong IIHS results. The vehicle features a distinctive stainless-steel exoskeleton made from ultra-hard 30X cold-rolled stainless steel. This provides exceptional structural rigidity and a robust safety cage that resists deformation in side impacts and rollovers.

Engineers designed integrated load paths to channel crash forces away from the occupant compartment while allowing controlled energy absorption in key zones. Post-April 2025 refinements to the front underbody further optimized performance in overlap crashes.

Complementing the passive structure is Tesla’s advanced active safety suite, including the standard Collision Avoidance Assist system with automatic emergency braking. This contributed directly to the vehicle’s strong front crash prevention scores. The skateboard platform and low center of gravity also enhance stability and handling, reducing the likelihood of certain crashes.

The IIHS recognition highlights how Tesla’s combination of high-strength materials, structural innovation, and software-driven safety systems can deliver top-tier protection in rigorous testing. While global regulatory differences on design and pedestrian interaction continue to limit the Cybertruck’s availability outside North America, its U.S. safety credentials set a new benchmark for full-size pickups.

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Elon Musk

SpaceX’s newest Starmind will make earth data centers obsolete

Elon Musk confirmed Starmind as SpaceX’s AI satellite constellation name, targeting one million orbital compute nodes.

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Elon Musk confirmed that Starmind will be the official name of SpaceX’s planned AI satellite constellation, following a trademark filing by xAI that surfaced earlier this week. Starmind is what’s being described to the FCC as a constellation of up to one million AI satellites

It’s worth noting that SpaceX’s Starlink communication satellite and Starmind are built on the same orbital infrastructure concept but serve entirely different purposes. Starlink is a connectivity network, with satellites receiving and relaying data between points on Earth, and functioning as a high-speed internet backbone in space. The satellites themselves do not process or think, and move information from one place to another, the same function a fiber cable performs underground.

SpaceX just forced Verizon, AT&T and T-Mobile to team up for the first time in history

Starmind, on the other hand, is something completely different, and tather than moving data, its satellites would compute data through artificial intelligence and directly in orbit using onboard processors powered by large solar arrays. Where a Starlink satellite is essentially a very fast pipe, a Starmind satellite is a server. The practical implication is that Starmind would allow AI models to run inference, process queries, and generate outputs from space, then beam results down to users anywhere on Earth within milliseconds, and without the data ever needing to travel to a terrestrial data center.

Starship will be able to carry 30 to 50 AI1 satellites per launch, delivering the equivalent of dozens of server racks per flight, with no land acquisition, no power grid approval, and no cooling infrastructure required on the ground.

SpaceX is pursuing this new technology as terrestrial data centers are running into hard limits such as lack of physical space, community opposition, and power and water consumption at a scale that is increasingly difficult to permit. Space has unlimited solar power, natural vacuum cooling, and no zoning boards. Musk said in a June 8 video presentation that he expects space to become the lowest-cost location to deploy AI compute within two to three years. Two AI1 prototypes are scheduled to launch in early 2027, with volume production targeted for the end of that year at a new facility called Gigasat.

The real world applications Starmind enables extend well beyond powering Grok. A constellation of orbiting AI processors could run inference workloads for any paying customer, anywhere on Earth, with latency measured in milliseconds rather than the seconds associated with ground-based cloud routing across continents. Starmind, if it scales as described, would make SpaceX the landlord of AI compute the same way Starlink made it the landlord of satellite internet.

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