Elon Musk admits millions of Tesla owners need upgrades for true 'Full Self-Driving'

Key Points:

• Elon Musk announced that millions of Tesla owners with Hardware 3 driver-assistance systems will need hardware upgrades, including new computers and cameras, to run future versions of Full Self-Driving (FSD) software without human supervision.
• This admission contradicts previous Tesla promises that existing hardware would support advanced FSD capabilities, potentially exposing the company to legal challenges from customers who expected full self-driving functionality through software updates alone.
• Musk highlighted the logistical challenges of these upgrades, mentioning plans to build micro-factories in major metropolitan areas to avoid overwhelming Tesla service centers.
• Despite the need for hardware upgrades for fully unsupervised FSD, Tesla will continue releasing incremental software improvements for Hardware 3 vehicles, though Musk stated this hardware cannot support true unsupervised full self-driving.
• Tesla's CFO had previously expressed optimism about making Hardware 3 work for advanced FSD, but Musk's recent statements confirm that this is no longer considered feasible.