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Tesla FSD Beta V9 earns sharp rebuke from Consumer Reports

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Consumer advocate group Consumer Reports (CR) has issued a sharp rebuke of Tesla’s Full Self-Driving Beta V9, which began its initial rollout earlier this month. CR highlighted FSD Beta V9’s capabilities and lack of safeguards as its main point of criticism for the advanced driver-assist system. 

Tesla FSD Beta V9 adopts the company’s pure vision approach, which uses a camera-based Autopilot model. Tesla’s decision to adopt pure vision as opposed to its previous camera+radar approach was quite controversial, though initial reviews from some FSD Beta users have noted that their vehicles have been behaving more confidently with FSD Beta V9. Elon Musk, for his part, has maintained that FSD Beta V9 users must exercise utmost caution when using the system.

Consumer Reports’ Tesla Model Y does not have FSD Beta V9 software, and thus, the company is yet to experience the advanced driver-assist system firsthand, but Jake Fisher, senior director of CR’s Auto Test Center, noted that videos of FSD Beta V9 in action do not inspire confidence. “Videos of FSD Beta 9 in action don’t show a system that makes driving safer or even less stressful. Consumers are simply paying to be test engineers for developing technology without adequate safety protection,” he said

The magazine pointed to videos uploaded by FSD Beta V9 tester AI Addict, whose YouTube uploads showed instances when the advanced driver-assist system made mistakes and required manual interventions. Missy Cummings, an automation expert who is director of the Humans and Autonomy Laboratory at Duke University, noted that FSD Beta V9 still has fundamental problems. 

https://twitter.com/WholeMarsBlog/status/1417341858322161664?s=20

“It’s hard to know just by watching these videos what the exact problem is, but just watching the videos it’s clear (that) it’s having an object detection and/or classification problem. I’m not going to rule out that at some point in the future that’s a possible event. But are they there now? No. Are they even close? No,” she said. 

https://twitter.com/kimpaquette/status/1414351707660763137?s=20

Selika Josiah Talbott, a professor at the American University School of Public Affairs in Washington, D.C., is more critical of the system, stating that the videos she has seen of FSD Beta V9 show that the advanced driver-assist system behaves “almost like a drunk driver” in the way that it struggles to stay between lane lines. “It’s meandering to the left; it’s meandering to the right. While its right-hand turns appear to be fairly solid, the left-hand turns are almost wild,” she said. 

Despite Tesla’s rollout of a camera-based driver monitoring system to its vehicles, Fisher argued that the EV maker still needs to monitor its drivers in real-time to ensure that FSD Beta V9 is being used properly. “Tesla just asking people to pay attention isn’t enough—the system needs to make sure people are engaged when the system is operational. We already know that testing developing self-driving systems without adequate driver support can—and will—end in fatalities,” he said. 

It should be noted that FSD Beta V9’s current iteration is not in wide release yet, and it has only been rolled out to the company’s select group of FSD Beta testers. So far, however, tests of the system in action seem encouraging. While manual interventions still happen from time to time, FSD Beta V9 does seem like a step forward from its previous iterations. This does not mean that Tesla’s driver-assist system is ready to go hands-free, of course, but it’s a solid step forward. Needless to say, there’s a good chance that improvements would be made to FSD Beta V9 before it gets a wider release. 

Consumer Reports’ full article on Tesla’s FSD Beta V9 could be accessed here

Watch AI Addict’s FSD Beta V9 video below.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Cybertruck

Tesla analyst claims another vehicle, not Model S and X, should be discontinued

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Credit: Tesla

Tesla analyst Gary Black of The Future Fund claims that the company is making a big mistake getting rid of the Model S and Model X. Instead, he believes another vehicle within the company’s lineup should be discontinued: the Cybertruck.

Black divested The Future Fund from all Tesla holdings last year, but he still covers the stock as an analyst as it falls in the technology and autonomy sectors, which he covers.

In a new comment on Thursday, Black said the Cybertruck should be the vehicle Tesla gets rid of due to the negatives it has drawn to the company.

The Cybertruck is also selling in an underwhelming fashion considering the production capacity Tesla has set aside for it. It’s worth noting it is still the best-selling electric pickup on the market, and it has outlasted other EV truck projects as other manufacturers are receding their efforts.

Black said:

IMHO it’s a mistake to keep Tesla Cybertruck which has negative brand equity and sold 10,000 units last year, and discontinue S/X which have strong repeat brand loyalty and together sold 30K units and are highly profitable. Why not discontinue CT and covert S/X to be fully autonomous?”

On Wednesday, CEO Elon Musk confirmed that Tesla planned to transition Model S and Model X production lines at the Fremont Factory to handle manufacturing efforts of the Optimus Gen 3 robot.

Musk said that it was time to wind down the S and X programs “with an honorable discharge,” also noting that the two cars are not major contributors to Tesla’s mission any longer, as its automotive division is more focused on autonomy, which will be handled by Model 3, Model Y, and Cybercab.

Tesla begins Cybertruck deliveries in a new region for the first time

The news has drawn conflicting perspectives, with many Tesla fans upset about the decision, especially as it ends the production of the largest car in the company’s lineup. Tesla’s focus is on smaller ride-sharing vehicles, especially as the vast majority of rides consist of two or fewer passengers.

The S and X do not fit in these plans.

Nevertheless, the Cybertruck fits in Tesla’s future plans. Musk said the pickup will be needed for the transportation of local goods. Musk also said Cybertruck would be transitioned to an autonomous line.

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Elon Musk

SpaceX reportedly discussing merger with xAI ahead of blockbuster IPO

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Credit: SpaceX/X

In a groundbreaking new report from Reuters, SpaceX is reportedly discussing merger possibilities with xAI ahead of the space exploration company’s plans to IPO later this year, in what would be a blockbuster move.

The outlet said it would combine rockets and Starlink satellites, as well as the X social media platform and AI project Grok under one roof. The report cites “a person briefed on the matter and two recent company filings seen by Reuters.”

Musk, nor SpaceX or xAI, have commented on the report, so, as of now, it is unconfirmed.

With that being said, the proposed merger would bring shares of xAI in exchange for shares of SpaceX. Both companies were registered in Nevada to expedite the transaction, according to the report.

Tesla announces massive investment into xAI

On January 21, both entities were registered in Nevada. The report continues:

“One of them, a limited liability company, lists SpaceX ​and Bret Johnsen, the company’s chief financial officer, as managing members, while the other lists Johnsen as the company’s only officer, the filings show.”

The source also stated that some xAI executives could be given the option to receive cash in lieu of SpaceX stock. No agreement has been reached, nothing has been signed, and the timing and structure, as well as other important details, have not been finalized.

SpaceX is valued at $800 billion and is the most valuable privately held company, while xAI is valued at $230 billion as of November. SpaceX could be going public later this year, as Musk has said as recently as December that the company would offer its stock publicly.

SpaceX IPO is coming, CEO Elon Musk confirms

The plans could help move along plans for large-scale data centers in space, something Musk has discussed on several occasions over the past few months.

At the World Economic Forum last week, Musk said:

“It’s a no-brainer for building solar-powered AI data centers in space, because as I mentioned, it’s also very cold in space. The net effect is that the lowest cost place to put AI will be space and that will be true within two to three years, three at the latest.”

He also said on X that “the most important thing in the next 3-4 years is data centers in space.”

If the report is true and the two companies end up coming together, it would not be the first time Musk’s companies have ended up coming together. He used Tesla stock to purchase SolarCity back in 2016. Last year, X became part of xAI in a share swap.

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Elon Musk

Tesla hits major milestone with Full Self-Driving subscriptions

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Credit: Ashok Elluswamy/X

Tesla has announced it has hit a major milestone with Full Self-Driving subscriptions, shortly after it said it would exclusively offer the suite without the option to purchase it outright.

Tesla announced on Wednesday during its Q4 Earnings Call for 2025 that it had officially eclipsed the one million subscription mark for its Full Self-Driving suite. This represented a 38 percent increase year-over-year.

This is up from the roughly 800,000 active subscriptions it reported last year. The company has seen significant increases in FSD adoption over the past few years, as in 2021, it reported just 400,000. In 2022, it was up to 500,000 and, one year later, it had eclipsed 600,000.

In mid-January, CEO Elon Musk announced that the company would transition away from giving the option to purchase the Full Self-Driving suite outright, opting for the subscription program exclusively.

Musk said on X:

“Tesla will stop selling FSD after Feb 14. FSD will only be available as a monthly subscription thereafter.”

The move intends to streamline the Full Self-Driving purchase option, and gives Tesla more control over its revenue, and closes off the ability to buy it outright for a bargain when Musk has said its value could be close to $100,000 when it reaches full autonomy.

It also caters to Musk’s newest compensation package. One tranche requires Tesla to achieve 10 million active FSD subscriptions, and now that it has reached one million, it is already seeing some growth.

The strategy that Tesla will use to achieve this lofty goal is still under wraps. The most ideal solution would be to offer a less expensive version of the suite, which is not likely considering the company is increasing its capabilities, and it is becoming more robust.

Tesla is shifting FSD to a subscription-only model, confirms Elon Musk

Currently, Tesla’s FSD subscription price is $99 per month, but Musk said this price will increase, which seems counterintuitive to its goal of increasing the take rate. With that being said, it will be interesting to see what Tesla does to navigate growth while offering a robust FSD suite.

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