Tesla’s Full Self-Driving (FSD) beta version 12 has been a hot topic over the last several months, representing an important switch that’s expected to help unlock higher levels of autonomy. And while the highly anticipated FSD v12 hasn’t yet been deployed publicly, some think that it could go out to a wider audience by the end of this month.
Last month, Tesla began rolling out the FSD beta v12.1 to Wave1, a group made up of over 15,000 employee vehicles. CEO Elon Musk went on to say that Tesla is currently performing extra testing on v12 before the software sees a wider release to the public.
In a recent look at where the FSD beta v12 is at ahead of its release, Teslascope shared a detailed breakdown of events leading up to this point on X over the weekend, adding that they’re “hopeful” that the software will be released sometime in late January. In addition, the account says that Tesla has begun internal tests of Actually Smart Summon (ASS), which has a “very likely chance” of going out later on in the first quarter.
Teslascope also points to recent feedback on the FSD beta v12 received from employees in the Wave1 group, with most answering that the software did indeed include some substantial improvements. These are summarized below, based on at least a dozen reviews shared with Teslascope from employees in California:
Tesla FSD beta v12.1: improvements to “human-like behavior” and general stability
- 72 percent said FSD beta v12.1 includes improvements in “human-like behavior” and general stability.
- 20 percent said there was no change to “human-like behavior” and general stability.
- 8 percent said these factors had worsened.
Tesla FSD beta v12.1: improvements to roundabout encounters
- ~40 percent said FSD beta v12.1 improved roundabout encounters had improved.
- ~50 percent said there was no change to roundabout encounters.
- ~10 percent said these factors had worsened.
Tesla FSD beta v12.1: improvements to lane-keeping
- 37 percent said FSD beta v12.1 offered improvements to lane-keeping.
- 60 percent said there was no change to lane-keeping.
- 3 percent said these factors had worsened.
Despite the hopefulness, the account also notes that the Cybertruck release has caused Tesla to put some extra energy into creating a stable FSD beta build for the vehicle, though Musk recently noted that the electric pickup would be the lowest priority for the FSD beta. Because of the extra effort put into this, the account says that delays could be possible and that they’re continuing to monitor the ongoing deployment of the version to those within the Wave1 group.
Tesla unveiled plans for the FSD beta v12 last year, featuring the elimination of over 300,000 lines of human-written code that previously controlled functions such as steering, acceleration and braking. Instead, v12 is expected to rely much more heavily on its neural network, training its artificial intelligence (AI) through massive amounts of real-time driving footage, and using the neural network to actually control the vehicle, rather than just detecting objects.
Musk also debuted the FSD beta v12 in a live stream in August, and he has also said that the version would lose its “beta” designation. Tesla began rolling FSD v12 out to employees in November, and screenshots from the Wave1 group appeared to show that the version will still use the beta moniker.
What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.
News
Tesla dispels reports of ‘sales suspension’ in California
“This was a “consumer protection” order about the use of the term “Autopilot” in a case where not one single customer came forward to say there’s a problem.
Sales in California will continue uninterrupted.”
Tesla has dispelled reports that it is facing a thirty-day sales suspension in California after the state’s Department of Motor Vehicles (DMV) issued a penalty to the company after a judge ruled it “misled consumers about its driver-assistance technology.”
On Tuesday, Bloomberg reported that the California DMV was planning to adopt the penalty but decided to put it on ice for ninety days, giving Tesla an opportunity to “come into compliance.”
Tesla enters interesting situation with Full Self-Driving in California
Tesla responded to the report on Tuesday evening, after it came out, stating that this was a “consumer protection” order that was brought up over its use of the term “Autopilot.”
The company said “not one single customer came forward to say there’s a problem,” yet a judge and the DMV determined it was, so they want to apply the penalty if Tesla doesn’t oblige.
However, Tesla said that its sales operations in California “will continue uninterrupted.”
It confirmed this in an X post on Tuesday night:
This was a “consumer protection” order about the use of the term “Autopilot” in a case where not one single customer came forward to say there’s a problem.
Sales in California will continue uninterrupted.
— Tesla North America (@tesla_na) December 17, 2025
The report and the decision by the DMV and Judge involved sparked outrage from the Tesla community, who stated that it should do its best to get out of California.
One X post said California “didn’t deserve” what Tesla had done for it in terms of employment, engineering, and innovation.
Tesla has used Autopilot and Full Self-Driving for years, but it did add the term “(Supervised)” to the end of the FSD suite earlier this year, potentially aiming to protect itself from instances like this one.
This is the first primary dispute over the terminology of Full Self-Driving, but it has undergone some scrutiny at the federal level, as some government officials have claimed the suite has “deceptive” naming. Previous Transportation Secretary Pete Buttigieg was vocally critical of the use of the name “Full Self-Driving,” as well as “Autopilot.”
News
New EV tax credit rule could impact many EV buyers
We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date. However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.
Tesla owners could be impacted by a new EV tax credit rule, which seems to be a new hoop to jump through for those who benefited from the “extension,” which allowed orderers to take delivery after the loss of the $7,500 discount.
After the Trump Administration initiated the phase-out of the $7,500 EV tax credit, many were happy to see the rules had been changed slightly, as deliveries could occur after the September 30 cutoff as long as orders were placed before the end of that month.
However, there appears to be a new threshold that EV buyers will have to go through, and it will impact their ability to get the credit, at least at the Point of Sale, for now.
Delivery must be completed by the end of the year, and buyers must take possession of the car by December 31, 2025, or they will lose the tax credit. The U.S. government will be closing the tax credit portal, which allows people to claim the credit at the Point of Sale.
🚨UPDATE: $7,500 Tax Credit Portal “Closes By End of Year”.
This is bad news for pending Tesla buyers (MYP) looking to lock in the $7,500 Tax Credit.
“it looks like the portal closes by end of the year so there be no way for us to guarantee the funds however, we will try our… pic.twitter.com/LnWiaXL30k
— DennisCW | wen my L (@DennisCW_) December 15, 2025
We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date.
However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.
If not, the order can still go through, but the buyer will not be able to claim the tax credit, meaning they will pay full price for the vehicle.
This puts some buyers in a strange limbo, especially if they placed an order for the Model Y Performance. Some deliveries have already taken place, and some are scheduled before the end of the month, but many others are not expecting deliveries until January.
Elon Musk
Elon Musk takes latest barb at Bill Gates over Tesla short position
Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now
Elon Musk took his latest barb at former Microsoft CEO Bill Gates over his short position against the company, which the two have had some tensions over for a number of years.
Gates admitted to Musk several years ago through a text message that he still held a short position against his sustainable car and energy company. Ironically, Gates had contacted Musk to explore philanthropic opportunities.
Elon Musk explains Bill Gates beef: He ‘placed a massive bet on Tesla dying’
Musk said he could not take the request seriously, especially as Gates was hoping to make money on the downfall of the one company taking EVs seriously.
The Tesla frontman has continued to take shots at Gates over the years from time to time, but the latest comment came as Musk’s net worth swelled to over $600 billion. He became the first person ever to reach that threshold earlier this week, when Tesla shares increased due to Robotaxi testing without any occupants.
Musk refreshed everyone’s memory with the recent post, stating that if Gates still has his short position against Tesla, he would have lost over $10 billion by now:
Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now
— Elon Musk (@elonmusk) December 17, 2025
Just a month ago, in mid-November, Musk issued his final warning to Gates over the short position, speculating whether the former Microsoft frontman had still held the bet against Tesla.
“If Gates hasn’t fully closed out the crazy short position he has held against Tesla for ~8 years, he had better do so soon,” Musk said. This came in response to The Gates Foundation dumping 65 percent of its Microsoft position.
Tesla CEO Elon Musk sends final warning to Bill Gates over short position
Musk’s involvement in the U.S. government also drew criticism from Gates, as he said that the reductions proposed by DOGE against U.S.A.I.D. were “stunning” and could cause “millions of additional deaths of kids.”
“Gates is a huge liar,” Musk responded.
It is not known whether Gates still holds his Tesla short position.
Tesla dispels reports of ‘sales suspension’ in California
New EV tax credit rule could impact many EV buyers
