Tesla's FSD Beta version 12.2.1, update 2023.44.30.20, recently started going out to some owners, which resulted in more videos posted on X. There are several examples of amazing technology at work, but also evidence that more work is needed.
Ashok Elluswamy, Tesla's Director of Autopilot Software, recently highlighted the sophistication of FSD Beta v12 on X, emphasizing how the system's end-to-end approach is tackling complex driving scenarios with remarkable ease. His response came to a video of FSD maneuvering around a large puddle.
This is the sort of driving that's really hard to code explicitly, but our end-to-end approach brings in almost effortlessly. https://t.co/gw4vipu9iY
One of the standout features of FSD Beta v12 is its ability to execute U-turns seamlessly when required by the route. This is where real-world examples show the good and the bad of this highly advanced maneuver come into play. X user AI DRIVR, an account posting several high-quality videos of V12.2.1 in action, demonstrates a flawless U-turn.
Unfortunately, not all U-turns posted on X are as pretty; Randolph Kim has been experimenting with several scenarios. While later videos showed better behavior with u-turns and roundabouts, the earlier attempts had to be disengaged.
FSD Beta v12.2.1 attempts U-turns at signalized intersections. So, I wanted to see how far I could push it. Looking for U-turns in LA, maps showed a U-turn at a left turn pocket on a smaller 4-lane mixed-use road. Car overshot the U-turn and had to disengage due to oncoming car. pic.twitter.com/hCfQYFh4ue
During our first glimpse of FSD v12 during Musk’s livestream, we noticed a new behavior when the vehicle reached its destination. Instead of just stopping, the vehicle now pulled over to the side of the road. However, it looks like the newest release goes one step further.
In a video by ArthurFromX, the vehicle is navigating to a parking lot. Not only does the vehicle successfully navigate to the parking lot, but it hunts around for a spot and then successfully parks without any additional instructions.
This could be our first glimpse at Tesla’s upcoming Park Seek feature that will eventually let the vehicle drop you off at the door and then go park itself.
FSD Beta 12: The One Where It Parks Itself
After consistently having the car either park itself into a stall (if my destination was a parking lot) or pull to the curb out of the roadway (if the destination was on a street), I experienced this…
Tesla appears to have reintroduced the Snapshot button in this update, at least to some owners. The snapshot button allows drivers to send additional information to Tesla regarding Autopilot's performance. This feature and the existing voice command feedback option provide Tesla with invaluable data to improve the FSD system further.
Automatic Speed Offset
Another noteworthy addition is the Automatic Set Speed Offset feature, which grants the vehicle autonomy to adjust its speed based on factors such as road type, traffic flow, and environmental conditions. The video below shows this feature in action. The feature is turned off by default and it currently only applies to street-level roads, but it’s a shift toward more human-like behavior for FSD Beta.
Recently, Tesla revised the Autopilot activation method to avoid confusion and offered drivers two choices — a single pull of the stalk to enable FSD Beta or the traditional two taps. However, with FSD Beta v12, drivers are now required to use the single pull method to activate Autopilot.
Traffic-Aware Cruise Control (TACC) has traditionally been one pull of the stalk and Autopilot two pulls, but with the new single-pull method to activate Autopilot, TACC becomes unavailable. This hasn’t been a big deal until the release of FSD v12. With v12 Tesla is now requiring FSD Beta to use the single tap activation method.
This means that if a driver chooses to use FSD Beta, then TACC is no longer accessible. The only way to enable it is to go into Controls > Autopilot and turn off FSD Beta and instead choose Autosteer (or TACC). However, if you wish to enable FSD Beta again later, then it requires the vehicle to be in Park. Switching between Autosteer and FSD Beta isn’t practical for drivers. For those who rely on TACC, this issue could be a significant disadvantage in this release.
Several drivers have praised FSD Beta v12’s ability to navigate complex situations, better decision-making, and smoother behavior. However, as with any cutting-edge technology, there have been instances where the system's responses have room for improvement, highlighting the importance of its continued development.
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A recent sighting at Giga Texas by drone operator and detail hound Joe Tegtmeyer has really caught our eye. A red Model Y was driving within the factory premises with its front and rear sections heavily camouflaged in Tesla’s standard black coverings. To top it off, there wasn’t just one, but two vehicles.
Tesla usually conceals vehicles when it has something to hide or test, and this timing suggests to us that a new variant of the world’s best-selling SUV is on its way. This leads us to two theories - a refreshed Model Y Performance or the anticipated, more affordable E41 Model Y.
Caught something interesting today … two heavily camouflaged cars driving on the W side of Giga Texas. Several viewers noted this in my short video on the autonomous drive.
— Joe Tegtmeyer 🚀 🤠🛸😎 (@JoeTegtmeyer) May 14, 2025
The front fascia, headlights, and hood are almost entirely obscured, with similar coverings applied to the rear, hiding the taillight design and bumper. This is a classic practice to keep new design elements under wraps before an official unveiling, and this is exactly what we saw with the Model 3 Highland and Model Y Juniper projects. The rest of the vehicle, including the central body and roofline, appear fairly consistent with the current Model Y.
Refreshed Model Y Performance?
One compelling possibility is that Tesla is preparing for the launch of the refreshed Model Y Performance. This speculation gains traction when we look at the launch of the refreshed Model 3 Performance. The Performance variant launched several months after the Long Range AWD and RWD variants and came with a bespoke front fascia. That fascia included air ducts for improved aerodynamics and brake cooling, helping to differentiate it both visually and by performance from other refreshed Model 3s.
It stands to reason that Tesla is preparing to launch the refreshed Model Y Performance. The extensive covering on the front fascia could be hiding a more aggressive, aerodynamically optimized bumper and air ducts to match the Model 3 Performance.
More Affordable Model Y?
Alternatively, this mystery vehicle could be the prototype of the previously discussed affordable variant of the Model Y, known as E41. Tesla has been working on further cost reductions for its highest volume vehicle, which includes cost-cutting components and features, as well as working on manufacturing efficiencies.
Tesla is focusing on making its existing models, like the Model Y, more affordable. In this case, the camouflage might be concealing simplified exterior features designed to help reduce production costs. This could include a revised front-end design, along with different headlights or taillight assemblies. Tesla could even forgo the distinctive front lightbar, as well as the afterburner-style rear lightbar, if it contributes to worthwhile savings.
This would be a step beyond the recently introduced Model Y Long Range RWD, which improves the vehicle’s range and lower the price by $4,000.
For now, the identity of this camouflaged Model Y remains a mystery. The fact that it is out and about at Giga Texas suggests that whatever changes Tesla has incorporated are significant enough to warrant covering up the front and rear of the vehicle.
Tesla’s FSD has made some truly incredible strides since V11, and since FSD V12.5, the experience has been hands-free for vehicles with a cabin camera.
However, a persistent point of frustration for many users is the strictness of the Driver Monitoring System (DMS), often referred to as the “nag.” In a recent interaction on X, Mike P detailed his grievances about how strict the DMS was.
This post drew a response from Elon Musk, who said, “You’re right.” Just a few days and a relatively unassuming point release later, Tesla has already decided to take action to improve its DMS.
The core issue here, which many who use FSD can attest to, isn’t about wanting to be irresponsible. Instead, it is about the current system’s sensitivity. The DMS can feel overly punitive for brief, normal interactions with the vehicle’s center display.
User Experience Woes
Mike P’s experience was common - you can’t even glance at the display to change the song or add a nav stop without the DMS warning you to pay attention.
If you continue, then you risk receiving a FSD strike. This leads to most drivers disabling FSD and typing their destination in while manually driving. For the casual observer, you can tell that it is clearly far more dangerous.
This highlights a safety paradox: a system designed to ensure attentiveness can sometimes lead to less safe workarounds. One must acknowledge that Tesla is in an odd position, being incredibly cautious about safety and ensuring it stays within NHTSA guidelines. However, the nag today is overkill in some situations, such as glancing at the center screen.
Tesla Confirms Change
Musk’s relatively concise answer resonated with his previous outlook on the matter. During Tesla’s Q1 2025 Earnings Call, he acknowledged that the DMS can be too strict and mentioned that Tesla is actively looking into ways to loosen those restrictions. He also pointed out the irony between the current system encouraging users to disengage FSD for simple tasks, only to re-engage it moments later - a less-than-safe cycle.
In a post on X, Ashok Elluswamy, Tesla’s VP of Autopilot AI, delivered welcome news. He confirmed that the latest FSD update, V13.2.9, includes a loosening of the cabin camera nag. This is an undocumented change, and one that we’re very excited to see.
This undocumented change is the latest step in Tesla’s overall plan forward Unsupervised FSD, which would drop the DMS completely. Previous updates, like the shift to vision-based driver attention monitoring in V12.4 and V12.5, aimed to balance safety with user experience.
What Does This Mean?
While the full extent of changes in V13.2.9 will become clearer as Software Update 2025.14.6 rolls out to more FSD users, the confirmation of loosened cabin camera nag suggests a few things.
This likely means greater tolerance for brief glances at the screen for essential tasks, whether it be adjusting climate settings, inputting a nav destination, or changing the current song. It could also include a potentially more forgiving threshold for looking away, especially in low-speed scenarios. The DMS does not ding you for using the display or looking away while the vehicle is waiting at a red light today, but Tesla could expand this to driving under 10 mph (16 km/h).