Tesla has started rolling out FSD v12 to employees
Not a Tesla App
Elon Musk announced earlier this month that Tesla's Full Self-Driving (FSD) v12 would be released in two weeks. The usual timeframe reference Musk is famous for was met with skepticism. However, it seems that Tesla is right on track with its rollout.
We have learned through a trusted source that FSD v12 has started rolling out internally with Tesla update 2023.38.10.
Update: Musk has responded to our article on X, confirming that Tesla has indeed starting rolling out FSD v12 to employees.
FSD v12 is the update that is expected to remove "beta" from the title. The initial rollout to employees appears more limited in scale than previous updates. Considering the magnitude of the changes in this version, it makes sense to start slow.
Public Release
The timing of this internal release is close to two major Tesla events. The Cybertruck delivery event is just a few days away. Many eyes will be on the company during the event, allowing Tesla to possibly show the world its latest breakthrough. Alternatively, the highly anticipated holiday update, often regarded as the best update of the year, is expected to be released by 'Santa Musk' in the coming weeks, potentially featuring v12 as a significant addition.
Newer Features
The latest public FSD build, v11.4.7.3, is Tesla update 2023.27.7. This FSD build is several revisions behind the latest production builds, so it's nice to see that v12 will bring FSD beta testers back up to speed with some of the latest Tesla features such as Predictive Charger Availability, Faster Hazard Lights After a Crash, and other features included in updates 2023.32 and 2023.38.
As for FSD improvements, we haven't had a chance to see the release notes for FSD v12 yet. However, now that it has started going out to employees, it shouldn't be long before we find out all the FSD improvements included in this milestone release.
FSD v12: A Leap Forward with Neural Net Use
A significant change in v12 is eliminating over 300,000 lines of code previously governing FSD functions that controlled the vehicle, replaced by further reliance on neural networks. This transition means the system reduces its dependency on hard-coded programming. Instead, FSD v12 is using neural networks to control steering, acceleration, and braking for the first time. Up until now, neural networks have been limited to detecting objects and determining their attributes, but v12 will be the first time Tesla starts using neural networks for vehicle control.
The FSD v12 represents a significant leap in Tesla's FSD technology. Musk has described it as an "end-to-end AI", employing a "photon in, controls out" approach akin to human optical processing. This analogy underscores Tesla's ambition to replicate human-like decision-making capabilities in its vehicles.
Labeled as a "Baby AGI" (Artificial General Intelligence), the system is designed to perceive and understand the complexities of the real world. This philosophical and technological shift in AI-driven autonomy was vividly showcased during a live-streamed drive by Musk through Palo Alto, where the Model S demonstrated smooth and almost flawless navigation through various real-world scenarios, including construction zones, roundabouts, and traffic. That was three months ago; imagine how much the system has learned in 90 days.
Looking Forward: The Future of Tesla's AI Endeavors
The rollout of FSD v12 marks a critical point in Tesla's journey in AI and autonomous driving. It's not just about technological prowess but also about aligning AI with nuanced human behavior. With Musk's continued focus on AI, which is evident across his ventures, Tesla remains a crucial player in the EV market and the broader AI revolution.
As we await further details on the public release of FSD v12 and its potential showcase at the Cybertruck event, it's clear that Tesla is moving closer to a future where cars are not just self-driving but are also intelligent and responsive to the complexities of the real world.
Subscribe
Subscribe to our newsletter to stay up to date on the latest Tesla news, upcoming features and software updates.
In a live two-part interview with CNBC’s David Faber yesterday, Elon Musk laid out his ambitious near-term plans for Tesla’s Robotaxi Network and the broader rollout of Unsupervised FSD. Speaking from Giga Texas, Elon confirmed that Tesla will be launching its initial Robotaxi pilot service on Austin’s roads by the end of June 2025.
Tesla Already Testing Robotaxi With Safety Drivers
The upcoming Austin launch is the start of Tesla’s long-stated Robotaxi ambitions. After promising true FSD for years, it appears that Tesla is finally ready to debut it, albeit it’ll be closed to the public initially, and it will only be available on Tesla-owned vehicles for now.
Elon expressed confidence in that end-of-June timeline, revealing some of the extent they’ve gone to behind the scenes. Tesla has had test vehicles driving in Austin 24/7, currently with drivers in the cars. However, they’ve seen essentially no interventions required from the safety drivers during the testing phase, which is good news.
The initial deployment in Austin will be deliberately small to ensure that everything operates as expected.
"So we want to be very careful with the first introduction of unsupervised full self-driving, meaning that there’s the cars driving around with no one in it... Well, yes, and sometimes no one in it at all. Just going to pick someone up. So the car obviously has to be incredibly safe." - Elon Musk on CNBC
How the Robotaxi Network Will Operate
Musk said that Tesla intends to launch with just 10 Robotaxis for the first week and then slowly increase it to 20, 30, 40, and higher. All of that is to be done without a safety driver. Tesla will still have teleoperators supervising the vehicles remotely if they get stuck, but other than that, they will be in motion without an occupant in the driver’s seat.
The goal is to hit 1,000 active Robotaxis within a few months and then focus on expansion towards San Francisco, Los Angeles, and San Antonio. While Tesla could start with 1,000 or 10,000 - given that the initial vehicles are just Model Ys, Tesla wants to keep a tight leash on the fleet and make sure that both the safety and experience are up to snuff.
Geofenced and Avoid Certain Intersections
To further increase safety during the early phases, Elon confirmed that Tesla will geofence the Robotaxis' operational areas within Austin, limiting them to parts of the city where Tesla has the highest confidence in the system's performance. He stated they would avoid intersections unless the system is proven to handle them well, or route around them. While the goal is for the cars to operate without safety drivers, there will be rigorous remote monitoring of the fleet's activities.
Looking at the broader regulatory picture, Elon acknowledged the current complexities, with rules varying by state and even by city. He reiterated his call for a "unified set of national regulations" for self-driving vehicles in the U.S. to ensure consistency and prevent a confusing patchwork of differing rules as vehicles travel across jurisdictions.
This seems to be a great idea, at least initially. Autonomous cars will be safer if they adhere to the same rules everywhere rather than having different rule sets based on the state. However, one issue is that pedestrians and human-driven vehicles may expect the vehicles to either perform or refrain from certain actions, such as not turning right at red lights, and having different rules for self-driving vehicles could cause confusion.
Adding Your Vehicle to the Robotaxi Network
During the interview, Elon painted a picture of a rapidly expanding fleet of privately owned Teslas capable of unsupervised FSD. He offered a bold prediction for the near future:
"My prediction is that probably by the end of next year [end of 2026] we will have probably hundreds of thousands, if not—... Over a million Teslas doing self-driving in the U.S. ... Unsupervised full self-driving, where you do not need to pay attention." - Elon Musk on CNBC
Tesla eventually plans to allow vehicle owners to add or subtract their cars from the Robotaxi fleet, creating a model he likened to a combination of Uber and Airbnb. This would allow owners to generate revenue when their vehicle isn’t being used, with Tesla receiving a portion of the revenue.
He also mentioned that Tesla owners will likely even make more from their cars participating in the fleet than their lease costs. Elon seemed confident in Tesla's ability to manage the logistics, stating, "Tesla has all the ingredients necessary to offer a vast self-driving fleet overnight."
Elon on Vision-Only and Licensing FSD
Elon also took the opportunity to emphasize that Tesla’s approach to autonomy, based on vision, is the ideal approach. The road system is designed for humans with eyes, so using neural nets with cameras is the ideal solution.
"Because the way that the road system is designed is for AI. It’s basically, I should say, it’s for intelligence, biological neural net, and eyes. That’s how the whole road system is designed. So what will actually work best for the road system is artificial intelligence, digital neural nets, and cameras... And what we found is that, when you have multiple sensors, they tend to get confused. So do you believe the camera or do you believe lidar? - Elon Musk on CNBC
While Tesla previously included radar in its vehicles, the disagreements between the radar and camera data led to uncertainty, prompting Tesla’s engineers to turn the radars off instead. The decision wasn’t about the expense, as per Elon’s comments, but rather on the reducing utility of other sensor types when camera vision becomes more accurate.
Elon also confirmed that Tesla is "very much open" to licensing its FSD technology to other major automakers and is currently in discussions with several. "The more we demonstrate the capability of self-driving, the more that they will want to license it, and we’re happy to help," he added.
Optimus and Learning
While the interview primarily focused on Tesla’s ambitions for autonomy, Elon also touched on other key aspects of Tesla’s business and future. He reiterated that Optimus and autonomy will “overwhelmingly” dominate the future financial success of Tesla. At multiple Earnings Calls, Elon has said much the same, so it's not surprising to see him stick to this belief.
Elon provided more color on Optimus's development, noting that while achieving the goal of billions of humanoid robots is at least a decade away, even with insatiable demand. He reaffirmed that the target of producing a million robots by 2030 was still reasonable. The training process is evolving; currently, human operators in motion capture (MOCAP) suits perform basic tasks (picking up objects, opening doors, dancing) to bootstrap the robot's intelligence.
The next threshold, Elon explained, is for Optimus to learn from watching videos, like YouTube "how-to" guides, enabling dramatic "task extensibility." Following that, "self-play," where robots learn by interacting with objects, like a child with toys, guided by a reward function, will be key.
Within five years, Tesla envisions Optimus being capable of household chores like doing dishes, walking the dog, and even proactively understanding and fulfilling user needs. This level of AI advancement requires immense compute. Elon confirmed Tesla's own Dojo training program, based in New York, is contributing, though Tesla will continue to buy many GPUs from Nvidia.
Watch the CNBC Interview
FULL ELON INTERVIEW ON CNBC (PARTS I & II)
Here's the complete, consolidated interview of Elon Musk with David Faber, recorded yesterday in two parts at Giga Texas. (The second part starts at 23:54)
Like Europeans, Australian Tesla owners have been eagerly awaiting the arrival of FSD for years, but it looks like there’s finally some good news coming. Thom Drew, Head of Tesla Australia, has confirmed that the company is actively working to bring FSD to Australian roads and, most importantly, sees no regulatory challenges blocking its path.
This update from Thom follows a video that was shared by Tesla’s AI account on X, where they showed off FSD successfully navigating the streets of Melbourne.
Speaking to Australia’s News.com, Thom Drew provided some context behind Tesla’s Australian FSD efforts. He noted that Elon’s push and focus is the deployment of FSD globally. The engineering team is working across a lot of markets to actively push out FSD wherever possible.
Notably, Drew emphasized the favorable regulatory environment in Australia. He specifically noted that “There’s currently no blockers in Australia to releasing FSD, as we have in North America.” While he didn’t provide a specific timeline for launch, it was clear he was enthusiastic.
The lack of a regulatory blocker is great news for Australians, as Tesla’s FSD efforts in Europe have been plagued with regulatory issues. While the Australian market poses some new challenges as a right-hand drive market, at least Tesla is in control there.
Hook Turn
At the end of the video above, FSD tackles something unique to Australia - the Hook Turn. This is a relatively unique maneuver that’s specific to Melbourne’s Central Business, where vehicles turn right from the far-left lane.
For those familiar with Melbourne, that maneuver is notoriously tricky—and at times even unsettling—since even experienced human drivers can struggle with the unusual complexity of that turn. Having FSD successfully demonstrate its skill in navigating these local complexities and laws is an indication that Tesla’s data-gathering methods work well and are scalable to unique location-based rules and regulations.
What This Means for Australian Owners
Given that Australian FSD is in active development and that there’s a clear regulatory path for Supervised FSD in Australia, that’s a good sign of things to come. It seems fairly likely that Tesla will be able to release FSD in Australia by the end of 2025, if not sooner.
Last year, Tesla initially said that RHD markets would receive FSD in Q1/Q2. With Q2 coming to an end in about a month, Tesla may not be too far off the mark here.
It's important to remember that this refers to FSD (Supervised), meaning the driver must remain vigilant and ready to take control at all times, consistent with its behavior in North America and China. However, Australia's lack of regulatory blockers is a huge advantage for Tesla compared to other regions like Europe and even China, where Tesla needed to jump through hoops to get FSD approved.
If you’re in Australia, keep an eye out; FSD may be coming sooner than you think.
![Tesla Demonstrates FSD in Australia, Says No Regulatory Barriers [VIDEO]](https://www.notateslaapp.com/img/containers/article_images/2025/fsd_australia.png/7165f36190892ae72bb9b5ba14a51d47/fsd_australia.jpg)
![Tesla’s Impressive Sound Systems Are Missing One Thing: True Spatial Audio [Opinion]](https://www.notateslaapp.com/img/containers/article_images/cybertruck/ct_speaker_setup.jpeg/187a673c779473531b5247063d37ff9a/ct_speaker_setup.jpg)
![Tesla Engineers Reveal How Optimus Learns—And Show Off Its Dance Moves [VIDEO]](https://www.notateslaapp.com/img/containers/article_images/optimus/optimus-dancing.webp/ac248a1cc95df69c081ac10d8aa8b274/optimus-dancing.jpg)
![Inside Tesla’s AI Genius: VP Ashok Elluswamy Talks FSD, AGI, and the Future [VIDEO]](https://www.notateslaapp.com/img/containers/article_images/2025/ashok_interview.png/0f2b3fb6e89a70255a0c6c31a2efa04f/ashok_interview.jpg)
