Elon Musk has mandated Tesla employees to install and demo Full Self-Driving Beta for every customer taking delivery in North America.
Full Self-Driving (FSD) Beta is a level 2 Advanced Driver Assistance System (ADAS) that automates all aspects of driving on city streets and highways, but it requires the driver’s attention at all times – hence why it is still only a level 2 system despite its name.
Tesla’s goal is to improve the system until it can eventually remove the requirement to have the driver’s attention, making it a true self-driving system.
The automaker is currently rolling out version 12 of its FSD Beta system. which has been touted has a major step forward for the system by powering vehicle controls with neural nets.
Tesla sells its Full Self-Driving package for $12,000 or a $200 a month subscription.
The automaker has never revealed the take rate of the package, but some data would point to a lower than 20% take rate in North America. It is likely much lower globally as other markets don’t have access to FSD Beta.
In order to boost the take rate, Elon Musk has informed Tesla employees this morning to install the FSD Beta software on all new cars being delivered and give short test drives to the new buyers.
The CEO wrote in an email to employees:
Going forward, it is mandatory in North America to install and activate FSD V12.3.1 and take customers on a short test ride before handing over the car.
Musk says that he wants more people to realize “FSD actually works”:
Almost no one actually realizes how well (supervised) FSD actually works.
Over the years, Tesla has continuously cut down on the tasks related to delivering vehicles as it often becomes a bottleneck in the automaker’s operations.
It is not rare these days to take delivery of a Tesla vehicle in minutes and Tesla employees would refer you to videos available on the car’s center display in order to inform the new owners of any functionality inside the vehicle.
Requiring a demo drive with every new delivery is going to greatly increase the delivery workload at Tesla stores and delivery centers.
The CEO seems aware as he finished his email on this note:
I know this will slow down the delivery process, but it is nonetheless a hard requirement.
The new initiative also matches Tesla’s referral program incentives. If a new buyer buys a Tesla with a referral code, they get 3 months of free Full Self-Driving package.
Electrek’s Take
Sorry Tesla delivery people. This is going to create a massive backlog, especially now at the end of the quarter.
As for the effectiveness of this, I don’t know. To be fair, I have yet to try v12. Speaking of, it’s weird that Tesla is going to push it to every new car before delivery, but that many long-time FSD owners like myself have yet to receive the update.
Maybe v12 is so impressive that Elon really believes it will increase the take rate to demo it at delivery – even though everyone who buys with a referral code gets it for free for the first 3 months and presumably tries it during that period of time.
Now, I do like the fact that the first time someone is exposed to FSD Beta, it will be in the presence of a Tesla employee, who presumably is going to emphasize the fact that this is a level 2 ADAS and it requires your attention at all times. No exception.
But I think that Tesla and Elon, in particular, are again ignoring the only real thing that would significantly increase confidence in FSD Beta: strong and transparent data.
Yes, personal experience with the system is useful, but like Youtube videos, it’s all anecdotal data. Tesla is now getting close to 1 billion miles of FSD Beta data and it hasn’t released anything of value from this data.
If Tesla wants to people to realize that FSD “actually works”, it needs to show the data it does.
Because let’s be honest “supervised FSD Beta” actually works, but that’s because of the “supervised” part. There would be tens of thousands of FSD Beta crashes if it weren’t for driver supervision.
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We are finally getting a look at Kia’s sporty new electric SUV. With starting prices under $30,000, the 2025 Kia EV5 GT Line looks ready to compete with the best in China.
Kia unveils the new 2025 EV5 GT Line electric SUV
Kia unveiled the new 2025 EV5 GT Line at the 2024 Guangzhou Auto Show, giving the already impressive electric SUV a stylish upgrade.
After introducing the EV5 last summer, Kia claimed it “brings a new era of electric mobility to the compact SUV sector.” The smaller electric SUV includes much of the advanced new tech and software in Kia’s flagship EV9 but in a more affordable package.
At 4,615 mm long, 1,875 mm wide, and 1,715 mm tall, the EV5 is a direct rival to Tesla’s Model Y (4,760 mm long x 1,921 mm wide x 1,624 mm tall).
Kia launched the EV5 in China last November, starting at just $21,000 (149,800 yuan), undercutting top-selling rivals like the Tesla Model Y.
Powered by a BYD Blade battery, the base EV5 is rated with 329 miles (530 km) CLTC range. The longer-range model, with an 88.1 kWh battery, gets up to 447 miles (720 km) CLTC range.
Now, we are finally getting a look at the upgraded 2025 EV5 GT Line model. As you can see, the GT Line treatment includes a sleek blacked-out exterior design with 20″ aluminum alloy wheels.
The AWD powertrain boasts up to 316 hp (233) kW for a 0 to 62 mph (0 to 100 km/hr) sprint in about six seconds. Kia’s new GT Line model gets up to 360 miles (580 km) CLTC driving range with fast charging (30% to 80%) in 27 minutes.
Kia upgraded the interior with a leather-wrapped two-tone steering wheel and other blacked-out elements. It also includes Kia’s next-gen ccNC infotainment system with dual 12.3″ center and driver display screens.
What do you think of the new EV5 GT Line? Should Kia launch it in the US? Let us know what you think in the comments below.
As part of Zero Motorcycles’ new approach to affordability, the California electric motorcycle maker is increasingly relying on strategic partnerships in the industry to help lower costs and leverage production experience. Now we’re getting word that one of the company’s key partners, Hero MotoCorp, is closing in on its first Zero-enabled electric motorcycle model.
It’s giving a whole new meaning to “from Zero to Hero.”
Last year, Zero joined forces with India’s largest motorcycle maker, Hero MotoCorp, to develop a new electric motorcycle model. Zero obviously eyed Hero’s massive manufacturing footprint and decades of production experience, and it looks like that partnership is closer than ever to revealing the fruits of its labor.
“As far as EV motorcycles, as we have talked about, that we are developing in partnership with Zero Motorcycles. And that’s something that while we have not given out the timeline, but the work is in progress. And it will be coming in the middle-weight segment. I would say it’s in the advanced stage. We haven’t announced the timeline as yet, but we would be looking at something which would not be too far off,” explained Hero MotoCorp CEO Niranjan Gupta during the company’s Q2 earnings call with analysts.
While targeting the more sought-after middleweight market, Hero confirmed that the company would also produce a version for the more performance end of the motorcycling market.
Hero has massive production chops to its name, but the company is relatively inexperienced with electric two-wheelers. Hero has just two models of electric scooters currently available under its Vida brand, and no fully-fledged electric motorcycles of the style for which Zero is known.
Zero and Hero have yet to provide specifics about where such a motorcycle might land in the international market, but recent moves by the company could provide a few clues.
Last month, Zero announced that it had partnered with Chinese motorcycle maker Zongshen to produce its new Zero XE and XB electric motorcycles. The move comes as part of Zero’s recently announced “All Access” initiative, which is built around adding more affordable models to the Zero lineup. Priced at just US $6,494 and $4,195, the Zero XE and XB are the most affordable Zero bikes we’ve seen yet.
There’s more where those came from, too. Zero claims that it will have six unique models, all priced at under US $10,000, in the next two years.
Based on the advanced state of the Hero partnership bike, it’s likely that such a model could be revealed as part of Zero’s All Access program.
California has proposed offering $7,500 state EV tax rebates to residents if Trump kills the federal EV tax credit, Governor Gavin Newsom (D-CA) announced today.
Trump has repeatedly said that he would eliminate the $7,500 EV tax credit for new vehicles and $4,000 for used vehicles created by the Biden administration’s Inflation Reduction Act if he won the election.
In response, Newsom today proposed creating a new version of the state’s Clean Vehicle Rebate Program, which launched in 2010 and was phased out in 2023. California started with a $5,000 rebate for EVs and increased to $7,500. During its lifetime, the Clean Vehicle Rebate Program funded more than 594,000 vehicles and saved more than 456 million gallons of fuel.
Newsom’s announcement says that funding for the state EV tax rebates could come from the “Greenhouse Gas Reduction Fund, which is funded by polluters under the state’s cap-and-trade program.”
Newsom said in a statement:
We will intervene if the Trump administration eliminates the federal tax credit, doubling down on our commitment to clean air and green jobs in California.
We’re not turning back on a clean transportation future – we’re going to make it more affordable for people to drive vehicles that don’t pollute.
Newsom’s announcement didn’t say how the rebates would work, but he’s expected to share more details during an appearance today. The governor would need the backing of the state legislature to revive the rebate program.
California continues to lead the US in zero emissions vehicle adoption, surpassing 2 million electric, plug-in hybrid, and hydrogen-powered vehicles sold across the state. By 2035, all new cars and light trucks sold in California must be zero-emissions vehicles, along with 50% of all new heavy trucks.
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