Tesla entered into the car industry with their first EV, the original Tesla Roadster. It was more of a proof of concept as Tesla had bigger plans. Tesla's plan to enter the automobile market was to build an expensive, electric sports car that would have high margins and prove to the world what EVs could do.
Tesla planned to minimize their effort by focusing only on the electric components of the car, such as the drivetrain and battery. They would try to leverage other parts from existing auto manufacturers such as Lotus.
However, in the end Tesla ended up creating most of the parts themselves. The final Roadster utilized as little as 7% of the same parts as the Lotus Elise.
Tesla to replace cameras on Teslas with AP 2.0
Tesla didn't make the same mistake again. When they manufactured the Model S in 2012 they decided to build the car from the ground up themselves. The original Model S didn't have any driver assist features. It's hard to say whether Autopilot wasn't something Tesla had started developing yet, or whether they planned to start small and add to the car in later years.
In September 2014, Tesla introduced their first version of Autopilot. Tesla built the hardware, but left driver assist software up to MobilEye, a company that still focuses on creating driver assistance systems today.
With the introduction of Autopilot 2.0 in 2016, Tesla decided to ditch MobilEye and take their platform in-house. It was a sudden and messy breakup, but in the end it was the right decision for Tesla. Autopilot 2.0 took several years before catching up to the capabilities of AP 1.
Since the introduction of AP 2.0, Tesla has offered a FSD package. Many features were not available out of the gate, but Tesla has slowly developed more features that fall into their FSD package.
Although many features have come out as part of the package such as lane keeping, lane changing, Navigate on Autopilot, Smart Summon, Autopark and more, Tesla is still developing its true self driving system. The problem has been more difficult to solve than anybody in the industry realized. Tesla is now making great progress with their latest FSD Beta releases.
Since AP 2, Tesla has used different hardware such as cameras and processors, but camera placements have remained the same. Tesla wanted to keep camera placement consistent across their product lines. From the beginning Tesla developed these cameras and processors to be easily swappable when better technology comes along.
AP 2 Cameras to be Swapped
Autopilot 2.0 cameras had a filter that made it able to absorb more light but it reduced colors captured. At the time Tesla thought this trade off would be worth it, but they now realize that it's better to bring the cameras in line with the ones used today. Since the cameras were made to be swappable if needed, Tesla can go in and swap them out for the same cameras that are used today.
Don’t worry, Tesla prepared for this.
The cameras just pop right off and can be replaced with the latest model.
This is exactly what Tesla is doing. Any Tesla that has FSD and AP 2.0, Tesla will be replacing the camera modules with cameras in 2021 vehicles. The FSD computer will also be replaced with the FSD HW 3.0 computer.
Tesla is planning on introducing a HW 4.0 FSD computer with the introduction of the Cybertruck, but this computer is not meant for FSD 3.0 vehicles. Tesla beleives they can achieve FSD on 3.0 hardware, but 4.0 will give them some extra processing power to increase safety even more.
Yeah, although early production cars will need camera upgrades, as well as FSD computer (all included in the price)
The same will be true if Tesla realizes that 4K or wide-angle cameras are needed in the future. These cameras are relatively inexpensive and Tesla can swap out the hardware if needed in order to achieve FSD.
Elon confirmed on Twitter that all vehicles with FSD and AP 2.0 will indeed need to have their cameras replaced in order to get FSD on city streets. The amount of vehicles released with AP 2.0 was relatively small as Tesla soon moved to AP 2.5 roughly a year later.
Elon didn't mention any timeframe on when Tesla will be updating these cars but Tesla may be waiting for Tesla service demand to be reduced. The demand for Tesla service is at an all time high as the world starts to get back to some form of normal and there has been pent up demand for service as people are addressing issues from the past year.
When Tesla gets to updating these vehicles with newer cameras and FSD computers, there will be no cost to owners as the replacement will be completely free.
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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).
Ashok Elluswamy, Tesla's Vice President of Autopilot and AI Software, recently discussed Tesla's artificial intelligence programs' current state and future ambitions. He covered FSD and then extended it to the broader topics of robotics and Artificial General Intelligence (AGI).
Journey to Truly Autonomous Driving
At the core of Tesla’s AI efforts lies the quest for fully autonomous vehicles. Ashok reiterated the long-term vision where, eventually, all newly manufactured cars are expected to be self-driving, with older, human-driven cars potentially becoming items for specialized hobbies or unique purposes.
However, he did acknowledge that the current advanced driver assistance systems (ADAS), including Tesla’s own FSD, require better reliability before the human can be completely removed from the equation.
The development process, he emphasized, is fundamentally rooted in machine learning rather than traditional programming. A crucial aspect of this is that AI is consistent across every vehicle, learning collectively from the fleet’s experiences rather than being unique to each car.
Progress in AI is continuous.
Safety and reliability remain Tesla’s focus for FSD. Now, with Tesla just weeks away from launching its Robotaxi Network in Austin, Texas, this is more true than ever, as any accidents could cause a delay in the program’s expansion or stop the program entirely.
No LiDAR
Ashok confirmed that Tesla still has no interest in LiDAR while discussing Tesla's vision-based sensor suite. He reiterated that cost and scalability remain key concerns with LiDAR, adding that its perceived usefulness diminishes as vision-based systems continue to improve.
Beyond the Road: FSD and Robotics
Ashok described Tesla’s AI network poetically - a “digital living being.” This emphasizes the organic way FSD absorbs information from the environment and learns from it. But FSD isn’t just for cars. Tesla uses FSD, as well as the same AI4 hardware from its vehicles, for its humanoid robot, Optimus.
Ashok expects that there will be a tremendous wave in robotics over the next 10 to 20 years. A key part of this will be the development of humanoid robots, which he believes will eventually be capable of complex industrial and domestic tasks, interacting with natural language, likely by 2035.
This recent surge in AI capabilities has been heavily driven by advancements in deep learning and the availability of massive computing power. Tesla is making heavy investments in both software and hardware. It recently started construction of its Cortex 2.0 Supercomputer cluster at Giga Texas.
Envisioning Sustainable Abundance & AGI
The conversation also covered the topics of Artificial General Intelligence. Ashok offered a pretty bold prediction that AGI will arrive in as little as the next 10 years, based on the rate of advancement that he’s seen so far. He further projected that AI-based software could become capable of performing most human tasks, whether spreadsheets or even robotic athletics, within the next 15 years.
This technological leap, he believes, ties into Tesla’s newer mission statement of sustainable abundance. Sustainable abundance is where the combination of intelligent machines and effective robotics helps to move greater portions of society away from poverty. This has become Tesla’s guiding philosophy since the 2025 All-Hands Meeting earlier this year.
Sustainable abundance should be a win-win scenario for all involved, helping reshape both production and creative industries to help humans do what they want to do rather than what they have to do.
Future of Mobility
As FSD and other AGI tech mature, Ashok believes that all cars being manufactured by 2035 will become autonomous. By then, the very concept of car ownership may change and transform. Owning a car would be a more “premium experience,” as the convenience and efficiency of self-driving vehicles might make personal ownership less of a necessity for many people. This shift would also necessitate infrastructure improvements to accommodate potentially increased vehicle usage.
We took a look at what the future may look like when autonomous vehicles become commonplace. It’ll have a drastic effect on our society, as parking lots will need to be a fraction of the size they are today, drop-off and loading zones will need to be bigger, and, for the most part, road signs may no longer be needed.
Will need this big time in the future. With autonomous vehicles we'll have affordable premium transport for everyone. This will likely increase traffic due to the increased usage, even though each vehicle is much more efficiently utilized. https://t.co/xvdvmxmzxd
Touching on the Indian vehicle market, Ashok noted that EVs, especially when combined with technologies like FSD, are well suited to the typical travel patterns in India and could make a big difference. With Tesla putting its eyes on a potential factory expansion in the coming years in India, there’s a lot riding on Tesla being able to take on the challenge of Indian roadways, where traffic laws are not enforced and well known.
Ashok’s interview was a fantastic look into what he believes will be next for Tesla - and he left with some parting advice for the next generation of engineers.
Master core concepts and leverage the wealth of online resources available. There is an emphasis on talent and innovation over traditional corporate hierarchies, and don’t forget your priorities: work and family.
You can watch the full interview here. Closed captioning is available.
![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)
![Tesla Updates Lane Departure Avoidance, Likely Now Using FSD Stack [Video]](https://www.notateslaapp.com/img/containers/article_images/tesla-screen/lane-departure-warning.webp/bac626b9acadf88ee44775c5ee187c06/lane-departure-warning.jpg)
