FSD Beta numbers and everything else revealed at Tesla's Q2 earnings call

July 21, 2022

By Dan Burkland

Tesla produces its 2 millionth vehicle at Fremont/Nevada

Tesla

Yesterday Tesla held its second quarter earnings call. Although Elon Musk has previously said he wouldn't be on earnings calls in the future, he did make this one.

As with previous earnings calls, plenty of data and statistics were revealed relating to production, future products, and FSD Beta.

Below is a recap of the entire event, including the Q&A session. The recap was originally posted to dburkland.com.

You can also listen to the earnings call below. The call begins at the 11 minute mark.

Opening remarks from Elon Musk

Unique quarter for Tesla due to Shanghai shutdown
Production records achieved in Fremont & Shanghai
Set up nicely for record breaking 2nd half of 2022
Past years have thrown several force majeure at Tesla yet the team continues to overcome
Giga Berlin Production Ramp continues with 1000 cars / week in June, Giga Austin to follow with the same number in the next few months
Still making cars w/ 2170 cells in parallel and important to note they aren’t dependent on 4680s and will still hit their production numbers
FSD Beta deployed to over 100,000 owners
5-6 years ago they set out to be the best manufacturer in the world
- Pro-manufacturing mindset has given them a competitive edge

Currently make the largest castings in the world
As a result of improved manufacturing processes in Berlin & Texas, Tesla has reduced body welding robot count by 70% per unit of capacity
- Body shop is roughly 3x smaller as it would be otherwise
- New vehicle bodies are lighter, cheaper, and quieter thanks to reduction in NVH
- Another level of simplicity and improvements are coming with Cybertruck (as well as future products coming down the road)
Intelligent seat belt tensioning based on vision system recently released, first in the industry to do this
- Can also adjust the airbag deployment as well
- Delivered via OTA update
- Will have profound impact on passenger safety
- Compatible for all HW3-equipped Teslas

Cybertruck
- Production still expected to start middle of 2023
- “Best product ever” -Elon
FSD Beta
- Planned to be released to all North American customers by end of 2022
- FSD will then be released to other geos such as Asia and EU soon after pending regulatory approval

Opening remarks from Zach Kirkhorn

Made substantial progress in almost every area of the business
New production records reached in existing factories and new ones actively ramping
Highest solar production volumes in years
Temporary shutdown had noticeable impact to vehicle margin
- Factory ramping also associated with negative impact on vehicle margin
Inflation, commodities, and logistics continue to be headwinds
Resource constrained on Powerwall and Megapack which should be resolved in the 2nd half of 2022
Austin & Berlin operating costs are going down as production ramps up
Tesla sold 75% of Bitcoin holdings
- They did so as they were uncertain when COVID lockdowns in China would end
- As a result they wanted to maximize cash position
- They are still interested in Bitcoin and have not yet sold any Dogecoin
Highest operating margins ever at 14.6%
Still targeting 50% of growth and still within reach

Q&A

Chinese EV Manufacturers & Software Innovation
- Elon believes Tesla China is the best EV manufacturer in China
- Chinese car companies will be a force to be reckoned with going forward
- Tesla has respect for Chinese automakers but believes they have whats necessary to compete
Unified Vector Space
- Unified Vector Space would be if instead of knitting together dynamic & static objects w/ C++ you knit them together at the NN level (meaning you no longer need to reconcile them in C++ heuristics)
- Architecturally better way
- Slight improvement in efficiency of FSD stack and something they want to get to
- Nirvana situation would be to have surround video auto labeling for all static & dynamic objects as well as surround video inference w/ spacial memory
- Elon believes they have a unified vector space by the end of 2022
- Elon is also very confident that Tesla will improve the frame rate as they delete legacy NNs and further optimize the FSD software stack
- The goal is to get FSD Beta to operate at 36fps for all 8 cameras compared to the current 24 frames which will reduce latency when reacting to a dynamic environment
Inflation & Future Price Reductions
- They do not control so therefore Elon says take w/ grain salt but thinks inflation to decrease by end of 2022
- Carbon, steel, aluminum, etc are trending down in cost which should see impact later in 2022, early 2023
- Processing of lithium is insanely costly
- Elon again encouraging entrepreneurs to enter the lithium business as there are, “software margins”
- “License to print money” -Elon
Bitcoin
- Cryptocurrency is not something Tesla thinks about a lot according to Elon
- Main goal is production and addressing climate change by making sustainable energy & transport a reality
4680s
- Structural pack is a monumental step forward from a physics perspective and is the way to go
- Gained perspective through entering production w/ structural pack Teslas which proved their hypotheses
- Cost improvements are thanks to solving technical issues and scale
- They have saved 4-5kg in mass from the early cast Model Y underbodies since their initial production
- Plan is to reduce mass of castings and to include more parts (and to adapt vehicle to work better with castings)
- Cybertruck will be another big step in this area
- Making progress on 4680 production ramp but continuing to leverage supplier cells (2170s) to ramp Giga Berlin & Texas
- Total production ramp of 4680 packs to 1000 per week by end of the year (preferably earlier)
- Q2 @ Kato fully automated powder conveyance for the dry anode electrode tool there unlocking major improvements in production & yields too
- Production as a result has increased 35% MoM since March and yields throughout factory are already at targets or trending towards them
- Took learnings from Fremont cell & pack lines and built optimized lines in Giga Berlin & Texas
- Cell design was revved to unlock higher performance and manufacturing simplicity
- Lines were fully integrated and insourced additional content
- As a result new challenges for ramping in Giga Berlin & Texas
- Last quarter cell equipment was fully installed at Giga Texas and they have since produced their first commissioning car sets of 4680s cells
- The target for Texas is to begin mass producing 4680 cells in Q3 2022 with the goal of being able to exceed the weekly cell production capacity of the Kato battery plant by end of 2022
- Priority with 4680s initially is simplicity and scale, Tesla was not aiming to include all of the bells & whistles right off the bat
- As manufacturing goals are achieved they plan to layer in new material technologies into their structural packs (and increase range as well)
- Currently in regards to 4680s Tesla’s main focus is to remove low hanging issues that would prevent further production ramp
- Dry electrode anode & cathode are included in the current 4680 process which makes things harder to ramp (yet they continue to achieve success here)
- Once mass production achieved they plan to quickly iterate w/ an increase in energy density and overall performance soon thereafter
- Tesla cell production will continue to compliment production volumes from suppliers
- Fundamental rate limiter for transition to sustainable energy is rate of li-ion battery pack production
  - Not due to scarcity of raw materials, refining lithium in ultra high purity is quite difficult and requires massive amounts of machinery
  - Super difficult to create anode and cathode
  - Elon believes 2/3 of batteries in the future will be iron phosphate, maybe some with manganese
  - Tesla is actively working with suppliers to ramp as quick as possible
- Tesla is taking action by building their own Cathode plant at Giga Texas as well as taking the plunge into lithium refinement
FSD Development Progress & Andrej Departure
- While Andrej Karpathy will be missed (recent departure), Elon remains very bullish on current team of 120 people in software / AI group and believes that they will solve FSD by end of 2022
- No major setbacks or delays in FSD timeline should occur as a result of Andrej’s departure
- Elon believes they will raise FSD price just before they go to wide beta (targeted for end of 2022)
- Value of FSD is extremely high and not well understood by most people, Elon thinks its ridiculously cheap if promises of performance materialize
Semiconductor Supply Chain Constraints
- Tesla procures about 1600 unique pieces of silicon from 43 different companies
- Supply chains are more stable w/ latest generation of chips
- Chips from the analog & mixed signaling space still remain a challenge from a supply chain perspective
- Supply chain line of sight continues to match planned outputs for both factories (no constraints)
- Long term contracts already in place for key battery materials and so there are no concerns about future constraints
- Tesla does not plan to manufacture their own chips however they continue to work with suppliers to ensure future product goals are achieved
- Chip shortage forced Teslas to delete redundant chips and update software accordingly (big positive in hindsight)

Cybertruck
- Deliveries to begin by the middle of 2023
Vehicle Demand
- Vehicle demand not an issue for Tesla for the foreseeable future
- No sizable macro impact on demand
- Difference between value in money and affordability and why you can’t just keep increasing prices
- Elon feels that they have raised prices to “frankly embarrassing levels”
  - Supply chain and inflation are main culprits for price increases
  - Elon is hopeful Tesla can reduce prices soon
- Elon thinks its achievable to produce 40,000 vehicles per week by end of 2022
  - Teslas has already produced 30,000 vehicles per week many times, 40,000 vehicles per week is definitely in reach
  - Plan is to get Giga Berlin & Texas to ramp to 5,000 vehicles per week by end of 2022 and 10,000 vehicles per week by end of 2023
- Elon reaffirms that Tesla does not have a demand problem but instead a production problem

Elon’s Role At Tesla
- If there is only good news Elon won’t plan to join the future earnings calls
- Elon is committed to working at Tesla as long as he can continue to help advance the company
AI
- Elon didn’t want to steal thunder from AI day so he will save the news / updates regarding Dojo & Optimus for then

You can follow Dan Burkland on Twitter at @DBurkland.

Tesla Semi Keynote: New Features, 46 Charging Sites, Upgraded Battery & More [VIDEO]

April 30, 2025

By Karan Singh

Out of Spec BITS/YouTube

Tesla’s Dan W Priestley attended the Advanced Clean Transportation (ACT) Expo in Anaheim, California, and provided an update on Tesla’s Semi truck program. The presentation covered several key developments on the status of Tesla’s Nevada Semi Factory, refinements to the Semi, and Tesla’s plans for charging and ramping production through 2026.

Let’s dig in and take a look at everything that was captured by the Out of Spec team at ACT Expo. The original video is embedded below if you’d like to watch it.

Semi Factory & Production Ramp

Priestley reaffirmed the timelines mentioned during Tesla’s Q4 2024 Earnings Call that Tesla will scale Semi production in 2026. To achieve this, Tesla has been actively building and expanding the Gigafactory Nevada site, specifically to support the production of the Tesla Semi. The dedicated Semi facility will have a targeted annual capacity of 50,000 Semi trucks.

Following the beginning of production, Tesla will utilize the initial trucks to integrate into its own logistics operations. This will serve as both a final real-world testing ground as well as an opportunity for Tesla to gather data internally. Tesla plans to begin subsequent customer deliveries throughout 2026 as the ramp-up continues.

Reuters also reported that Tesla is hiring over 1,000 new employees at the Semi Factory to begin the rapid ramping of the program.

Semi has already amassed 7.9 million miles with Tesla’s current testing and operational fleets, providing some real-world data and testing. Feedback for the truck has been exceptionally successful, with many drivers praising the Semi’s performance and comfort.

New Tesla Semi Features

Of course, it wouldn’t be a Tesla keynote without showing off some new things. The Semi will be available in 500-mile and 300-mile range configurations, now featuring updated mirror designs and a drop-down glass section to improve visibility and allow easier interaction with external elements—such as control panels at ports, for example.

New Electric Power Take-Off (e-PTO)

The Tesla Semi will also feature a new capability called Electric Power Take-Off, or e-PTO system. Similar to the PTO systems found on other vehicles, this will allow the Semi’s high-voltage battery to power auxiliary equipment at variable voltages. That includes being able to power things like climate-controlled reefer trailers, potentially replacing the noisy and polluting diesel generators traditionally used for this purpose.

Charging and Batteries

Out of Spec BITS/YouTube

Tesla is also working on an updated battery pack design for the final production design of the Semi. This new pack is designed to be more cost-effective to manufacture. The battery pack itself is slightly smaller than before, but the truck maintains the same level of range through efficiencies. Dan also confirmed during his keynote that the battery cells for the Semi will be sourced domestically inside the United States, helping to alleviate potential burdens due to tariffs.

On the charging front, Tesla is using MCS - the Megawatt Charging System - capable of 1.2MW - and designed specifically for Semi. The system uses the same V4 charging hardware found at Supercharger sites but focuses on that larger power output. Alongside a smaller physical footprint, Tesla will be able to configure these V4 cabinets for either dedicated Semi charging or for shared power scenarios with regular Superchargers. Tesla is also working on an integrated overnight charging product, but Tesla isn’t ready to talk about it yet.

46 Semi Charger Sites Coming

The 46 new MCS sites coming soon.

Out of Spec BITS/YouTube

Finally, Tesla has made substantial investments in a public charging network for the Semi. There are currently 46 sites in progress throughout the United States, and plans for significant expansion throughout 2026 and 2027. These sites are strategically located alongside major truck routes and within industrial areas to support long-haul and regional operations. Tesla is aiming to offer the lowest possible energy costs to operators to help incentivize adoption.

This was one of the best updates to the Tesla Semi we’ve received since its initial unveiling. It seems that the Semi will receive a big portion of Tesla’s attention in 2026, while Robotaxi and FSD Unsupervised take the stage this year.

The Tesla Semi has the potential to transform transportation even more dramatically than EVs already have, serving as a testament to Tesla’s mission to electrify the world.

Tesla’s B-Pillar Sentry Mode Recording Requires HW4, Not Just Ryzen — Breakdown of Spring Update Requirements

April 30, 2025

By Karan Singh

Not a Tesla App

Sentry Mode is an invaluable tool for owners - capable of keeping the vehicle safe and secure even when you’re not around. This is especially true in recent times, with the misguided and unfortunate incidents surrounding Tesla ownership, including damage to Tesla vehicles, showrooms, and Superchargers.

B-pillar Camera Recording and Dashcam Viewer

With the 2025 Spring Update on 2025.14, Tesla is expanding Sentry Mode’s functionality for certain vehicles with some much-needed changes. Sentry Mode and Dashcam can now record footage from the vehicle’s B-pillar cameras. These cameras are located on the side pillars of the vehicle, between the front and rear doors.

This adds two crucially needed viewpoints, making Tesla’s Sentry Mode a truly 360-degree security system. These cameras also provide the best angles for capturing license plates when parked, so they will be greatly appreciated by owners in the event of an incident.

These vehicles are also receiving an improved Dashcam Viewer, which now displays the six camera feeds along the bottom and a new grid view. It also allows users to jump back or forward in the video in 15-second increments.

However, to the disappointment of many owners, not all vehicles are receiving these updates due to the additional processing power needed.

Limited to Hardware 4 Vehicles, Ryzen Isn’t Enough

We have confirmed that Tesla is only adding the additional camera recording and improved Dashcam Viewer on hardware 4 (HW4 / AI4) vehicles. The newer hardware presumably has the additional processing power and bandwidth needed to handle recording and saving the two additional video streams during Sentry Mode and Dashcam.

For the time being, owners of HW3 vehicles are not receiving this feature. This includes all vehicles with HW3, even those with AMD Ryzen infotainment systems. If you’re not sure whether your vehicle has HW3 or HW4, you can refer to our FSD hardware guide.

While there’s no doubt that recording two additional camera streams would be more computationally intensive, we hope that Tesla adds the improved Dashcam Viewer to HW3 vehicles in a future update.

Cybertruck Also Missing Improved Sentry Mode

Surprisingly, and most confusing for many - is the fact that the Cybertruck is also not receiving the improved Dashcam Viewer and B-pillar camera recording with this update. This struck us as odd, especially since the Cybertruck is currently the only vehicle with the improved, more efficient version of Sentry Mode.

Every Cybertruck is equipped with HW4 and AMD Ryzen infotainment units, so this clearly isn’t a hardware restriction. It’s possible the more efficient Sentry Mode is playing a role here due to the infrastructure changes. However, we expect Tesla to address this in a future update and eventually release these features for the Cybertruck as well.

Given the Cybertruck’s high visibility and its status as a frequent target for both positive and negative attention, many owners hoped that the Cybertruck would be one of the vehicles to receive this feature.

Adaptive Headlights

Tesla finally started rolling out its adaptive headlights in North America. While the new Model Y already came with the feature when it was released last month, other vehicles with matrix headlights are now receiving the feature in the Spring Update.

All vehicles with matrix headlights are receiving this feature, which includes the new and old Model 3, first-gen Model Y, and the new Model S and Model X.

If you’re not sure if your vehicle includes matrix headlights, check out our guide. What’s interesting here is that older vehicles that were retrofitted with matrix headlights due to an accident or user replacement are also receiving the adaptive headlights feature.

Legacy Model S & Model X

As with most updates, the older legacy Model S and Model X are not receiving all the features included in this update. Unfortunately, some of the features, which include the Blind Spot Camera on the instrument cluster, Save Trunk Height Based on Location and Keep Accessory Power On are limited to the new Model S and X.

Legacy S and X models will receive the Alternative Trip Plans feature, Avoid Highways (Requires Intel MCU) and the Keyboard Languages feature.

These vehicles are also receiving all the features in the Minor Updates section except for the visualization showing how far the door is opened, which is exclusive to the Cybertruck. These additions include improved music search results, contact photos in the phone app, automatic connecting to hotspots, the ability to show third-party chargers, view Supercharger amenities, and various improvements to music services.

While many users will be disappointed not to receive the B-pillar camera recording and Dashcam Viewer improvements, it’s important to remember that Tesla typically does a great job at bringing features to older vehicles, at least with the Model 3 and Model Y. If a feature isn’t added, it’s usually due to a hardware limitation.