Tesla has switched all vehicles in the Full Self-Driving Beta pool to Pure Vision, completely axing radar from any vehicles within the Beta fleet. Even if a member of the FSD Beta program has radar installed in their vehicle, Tesla’s Full Self-Driving beta program will not utilize it, adopting a stance that CEO Elon Musk has held for some time.
Previously, vehicles with radar capabilities still utilized it for Autopilot. However, when Tesla switched the Model 3 and Model Y to Pure Vision in May 2021, the automaker completely expunged the two mass-market vehicles of radar-based operation, relying only on the vehicle’s eight external cameras. Initial testing showed that vehicles without radar operated more accurately than those with cameras and radar.
As Tesla plans to transition all vehicles to Pure Vision, owners of vehicles that have recently joined the growing fleet of FSD Beta are now seeing that their cars are no longer utilizing radar, if their car has that capability. One owner who joined the Beta group, which expanded by roughly 1,000 users last night with the rollout of Version 10.2, stated that an email from Tesla told them that “Your vehicle is running on Tesla Vision.” Essentially, this means that the car is no longer utilizing the radar devices that previously were operational before the vehicle was added to the Beta fleet.
Teslarati obtained a copy of the email, which told all new FSD Beta members that their cars would no longer use radar.
“Hello,
We will be pushing FSD Beta Version 10.2 (2021.32.25) to your vehicle shortly!
Full Self-Driving is in limited early access Beta and must be used with additional caution. It may do the wrong thing at the worst time, so you must always keep your hands on the wheel and pay extra attention to the road. Do not become complacent. When Full Self-Driving Beta is enabled, your vehicle will make lane changes off highway, select forks to follow your navigation route, navigate around other vehicles and objects, and make left and right turns. Use Full Self-Driving Beta only if you will pay constant attention to the road, and be prepared to act immediately, especially around blind corners, crossing intersections, and in narrow driving situations. Every driver is responsible for remaining alert and active when using Autopilot and must be prepared to take action at any time.
As part of receiving FSD Beta, your vehicle has automatically opted into VIN-associated telemetry sharing with Tesla, including Autopilot usage data, images and/or video. If you wish to be removed from the limited early access FSD Beta please email fsdbeta@tesla.com.
Your vehicle is running on Tesla Vision! Note that Tesla Vision also includes some temporary limitations, as noted below:
- Follow distance is limited to 2-7.
- Autopilot top speed is 80 mph.
Thanks,
Tesla Team”
CEO Elon Musk said that the reason for the transition for all Beta vehicles to utilize Pure Vision is because the performance of camera-based operation proved to be exceptionally better than radar and cameras. “Vision became so good that radar actually reduced SNR, so radar was turned off,” Musk said. Additionally, the CEO compared the current strategy of FSD to the basic functions of a human when driving. “Humans drive with eyes & biological neural nets, so makes sense that cameras & silicon neural nets are only way to achieve generalized solution to self-driving,” Musk added.
Vision became so good that radar actually reduced SNR, so radar was turned off.
Humans drive with eyes & biological neural nets, so makes sense that cameras & silicon neural nets are only way to achieve generalized solution to self-driving.
— Elon Musk (@elonmusk) October 11, 2021
In the past, Musk has always had plans of switching to camera-based FSD operation. During the company’s Q1 2021 Earnings Call in April, Musk said that radar was good for “making up for some of the shortfalls of vision,” but eventually Tesla would have to figure out how to get away from radar. “When your vision works, it works better than the best human because it’s like having eight cameras, it’s like having eyes in the back of your head, beside your head and has three eyes of different focal distances looking forward. This is — and processing it at a speed that is superhuman. There’s no question in my mind that with a pure vision solution, we can make a car that is dramatically safer than the average person,” Musk stated.
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Tesla stock (NASDAQ: TSLA) endured one of its sharpest single-day declines in years on July 23, tumbling approximately 14.5 percent and closing near $320 after opening the session around $374. The drop erased more than $140 billion in market value amid heavy trading volume and left the shares at multi-week lows.
The sell-off followed the company’s second-quarter 2026 results, released the previous evening. Tesla reported record revenue of $28.2 billion, up 26 percent year over year, driven by a Q2-record 480,126 vehicle deliveries. Energy storage deployments also rose strongly.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Yet profitability disappointed sharply. Operating income fell 57 percent to $398 million, compressing the operating margin to just 1.4 percent. Non-GAAP earnings per share came in at $0.33, well below the roughly $0.53 analysts had expected. Free cash flow turned negative by $1.1 billion as capital expenditures surged 142 percent to $5.8 billion, largely tied to accelerated spending on artificial intelligence, robotics, and autonomous systems.
The losses on capex were expected, as Tesla said it would be spending heavily in 2026.
Investors also reacted to lingering uncertainty surrounding key product timelines. During the Earnings Call, management reiterated ambitions for Robotaxi deployment and the Optimus humanoid robot, but offered limited new concrete milestones, renewing questions about execution pace that have long accompanied Tesla’s ambitious roadmap.
The magnitude of the decline places it among Tesla’s more severe one-day percentage losses since its 2010 initial public offering. Historically, the two largest single-day drops (split-adjusted) remain September 8, 2020, when shares fell 21.1 percent amid broader market volatility and valuation concerns, and January 13, 2012, with a 19.3 percent plunge during the company’s early growth struggles.
Other notable declines include an 18.6 percent drop on March 16, 2020, at the onset of pandemic-related market turmoil. Thursday’s move ranks roughly ninth on the all-time list but stands out as the steepest in more than a year.
Despite the short-term pain, Tesla’s long-term trajectory has repeatedly recovered from such volatility. The latest results underscore both the strength of its core automotive and energy businesses and the near-term costs of heavy investment in next-generation technologies.
Elon Musk clapped back at France’s decision to withhold the approval for Tesla’s Full Self-Driving (FSD) Supervised system, projecting a clear and blunt message to French Transport Minister Phillippe Tabarot, after he publicly rejected the technology in its current form.
Tabarot outlines several concerns with Tesla Full Self-Driving in a detailed video statement, where he said, “The safety trade-offs are not yet sufficient to authorize it as it currently stands,” he said. He emphasized that FSD is not a true self-driving system and that the driver remains fully responsible.
Key issues Tabarot also brought up included allowing speeding when surrounding traffic exceeds limits and what he believes are insufficient guarantees of driver attention during complex urban maneuvers such as lane changes, intersections, and roundabouts.
Delaying the approval of FSD in France will cost lives
— Elon Musk (@elonmusk) July 22, 2026
While acknowledging technological progress and France’s support for autonomous innovation, Tabarot stressed that deployment must prioritize road safety. He noted ongoing technical discussions with Tesla, the Netherlands, and other European partners, with further ecosystem meetings planned for the fall.
Musk’s rebuke highlights the human cost of regulatory caution. Tesla’s latest safety reports provide compelling data supporting accelerated adoption. In the most recent 12-month period, vehicles using FSD (Supervised) recorded one major collision per approximately 5.1 million miles driven, dramatically better than the U.S. national average of one crash per 698,000 miles.
Even Tesla vehicles driven manually with active safety features outperform the average by a wide margin. These figures come from billions of real-world miles of telemetry, showing FSD vehicles involved in far fewer incidents than both manual Teslas and the broader U.S. fleet.
Critics argue Tesla’s comparisons require careful scrutiny regarding reporting thresholds and fleet demographics, yet the data consistently positions FSD as a potential lifesaver. With road fatalities remaining a leading cause of death worldwide, Musk contends that proven safer technology should not face prolonged bureaucratic hurdles.
France’s measured approach reflects the broader European regulatory caution, which many, especially Musk, have been critical of in the past. However, as autonomous systems from Tesla and competitors like Waymo demonstrate superior safety in independent studies, pressure is mounting for harmonized approvals.
Musk’s warning carries the belief that every month of delay may equate to avoidable tragedies on European roads.
In a striking revelation that underscores the lucrative crossover between Big Tech and space exploration, Alphabet Inc., Google’s parent company, disclosed a massive $94.1 billion equity stake in SpaceX following the rocket company’s blockbuster initial public offering earlier this year.
The disclosure came in Alphabet’s quarterly filing, marking the first time the long-held private investment has been publicly valued at market prices. Google was an early backer, investing alongside Fidelity in 2015 with roughly $500-900 million at a time when SpaceX was valued around $12 billion.
That bet has delivered extraordinary returns, roughly a hundredfold, transforming a strategic play on satellite internet and launch capabilities into one of Alphabet’s largest assets.
Google, $GOOGL, has said they hold $94 billion in SpaceX, $SPCX, shares after IPO.
— unusual_whales (@unusual_whales) July 23, 2026
Of the total holding, approximately $80 billion remains subject to short-term post-IPO lockup restrictions, preventing near-term sales. An additional $14.1 billion faces longer-term restrictions, extending into the third quarter of 2027. This structure limits immediate liquidity but protects against market volatility as SpaceX transitions into public trading.
The SpaceX position contributed significantly to gains in Alphabet’s broader investment portfolio, which also includes a major stake in AI leader Anthropic. Combined, these holdings helped drive nearly $100 billion in investment gains during the second quarter, providing a substantial boost to net income amid ongoing AI spending pressures.
Analysts view the disclosure as validation of Alphabet’s venture strategy beyond its core search and cloud businesses. The investment aligns with deeper ties, including reported multi-billion-dollar deals for AI computing capacity on SpaceX infrastructure. As SpaceX advances Starship flights, Starlink expansion, and ambitious Mars goals under Elon Musk, Google’s stake positions it to benefit from the commercialization of space.
For Alphabet, the windfall highlights how patient, forward-looking bets in transformative sectors can yield outsized rewards. While lockups temper short-term impact, the holding cements SpaceX as a cornerstone of Alphabet’s diversified portfolio in an era where aerospace, AI, and connectivity increasingly intersect. Investors will watch closely as restrictions lift and SpaceX’s public performance unfolds.
Tesla stock tumbles after earnings, one of its sharpest single-day declines
Elon Musk is not happy about this Tesla Full Self-Driving approval delay
