Tesla will allow ‘one-time’ FSD transfer for one more quarter, says Musk
After repeatedly claiming that Tesla will not allow owners to transfer Full Self-Driving capability to new vehicles, Tesla CEO Elon Musk agreed today that Tesla will allow them to do so for “one more quarter.”
Tesla has been selling its FSD system for many years now, to the point where many early owners have been through multiple vehicles without the software actually being delivered in its full working state.
Those owners are able to use Tesla’s FSD Beta, now called FSD Supervised, but no Tesla owner has yet been able to use an actual full self-driving system that lets the car drive itself with no human intervention.
And so, there has been a constant drumbeat from many of those owners, wondering why they should have to purchase the same software again, when they get a new car, if the software was never delivered from the previous vehicle.
This is particularly tough given that the price of buying FSD now is higher than it was for many of those early owners – though it has gone back down in price recently.
And so, last year Tesla started allowing FSD transfers – but only for two months, and then it would happen never again.
It was seen at the time as a way to stoke demand, rather than an example of Tesla “doing the right thing” and letting owners retain eventual access to the software they paid for but were never delivered.
Then, after that period lapsed, Tesla eventually brought back the FSD transfer this year, allowing it for new orders until the end of Q1. And then, once again, that “one-time offer” was brought back.
But after that, on Tesla’s Q1 quarterly call, the question was asked whether FSD transfer could be made permanent, and the answer was a flat “No.”
However, at today’s shareholder meeting, one questioner once again asked Musk if we could have FSD transfer for “one more quarter,” rather than permanent. Musk hemmed and hawed a little in response, stating that it was “complex” to enable the transfers within Tesla’s sales framework. However, after some back and forth, Musk ended up saying “okay, one more quarter.”
We don’t yet have the details, as this was just announced on stage at the shareholder meeting (which has just finished), but we’ll surely hear some more details soon about how this program will actually work.
Electrek’s Take
We should not have to have this discussion every quarter.
Until FSD is able to follow through on its promise, transfers should be free for anyone who has bought the software.
Any other company that pre-sold software and then refused to deliver it would not be looked kindly upon, particularly if that software was thousands of dollars and many years late.
Yes, people can use something that Tesla calls FSD right now. It is gradually doing a better job and gaining more capabilities. But it does not fully drive the car, doesn’t work without intervention, can’t be summoned across country, can’t be used as a revenue-generating robotaxi (a promise that musk made again today), or any number of other statements that haven’t come to pass. And Musk has repeatedly stated that it will be able to fully drive the car “in about a year” – for many years now.
It’s time to stop stringing owners along. If the problem is difficult, and more difficult than you thought, that’s one thing. But making people buy additional licenses to software you already sold them and did not yet deliver is not acceptable.
Further, this is not about “doing the right thing” for owners. The right thing would be to make transfers permanent until level 5 autonomy is delivered. Even “effective permanence” of continually-rolling offers like this are more about stoking demand during end-of-quarter rushes, making customers think that a limited time offer like some sort of rug store that is perpetually going out of business.
But maybe Tesla owners won’t need to rely on Musk’s “benevolence” to grant them the ability to retain software they’ve pre-purchased a license for for long, as there are several cases in court relating to Tesla’s FSD false advertising that could have sweeping effects on how Tesla sells this software and what rights its owners might have.
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Just after Tesla launched its ‘Full Self-Driving’ package, in China, the country announced that it cracking down on automated driving features with new limitations.
In February, Tesla launched a first version of its “Full Self-Driving” FSD package in China for owners with the latest “Hardware 4.0”, or “HW4”, vehicles.
Most of the features under Tesla’s FSD package have been limited to North America due to Tesla training its system for this market first and due to regulatory limitations in other markets.
Shortly after Tesla launched FSD in China, the American automaker had to pause its rollout due to updated requirements from China’s Ministry of Industry and Information Technology (MIIT).
Now, MIIT has confirmed that it held a meeting with automotive industry stakeholders yesterday, and it has further clarified the rollout of advanced driver assistance (ADAS) features.
CNEV reported on the meeting:
Car companies were asked to refrain from using words like “self-driving,” “autonomous driving,” “smart driving,” “advanced smart driving,” and instead use the term “combined assisted driving” to avoid misleading consumers, according to the minutes of the meeting.
Tesla had already changed the name from ‘Full Self-Driving’ to “Intelligent Assisted Driving” following the launch in China.
Based on a statement from MIIT, the meeting focused on enforcing the previously announced updated requirements that launched right after Tesla introduced FSD in China (translated from Chinese):
The meeting emphasized that automobile manufacturers must deeply understand the requirements of the “Notice”, fully carry out combined driving assistance testing and verification, clarify the system functional boundaries and safety response measures, and must not make exaggerations or false propaganda. They must strictly fulfill their obligation to inform, and truly assume the main responsibility for production consistency and quality safety, and truly improve the safety level of intelligent connected vehicle products.
Regulators want automakers to reduce the frequency of new software updates and instead focus on extended testing before releasing new updates.
The last few months have been quite chaotic for ADAS systems in China. Along with Tesla’s FSD release, several Chinese companies released their systems, including BYD, Xiaomi, and Huawei.
Xiaomi reported a fatal accident in which its ADAS system was active just seconds before the crash, and Tesla owners using FSD racked up thousands of dollars in fines due to FSD making mistakes.
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The Global Payments Company logo seen displayed on a smartphone.
Igor Golovniov | LightRocket | Getty Images
Global Payments shares tumbled 17% on Thursday after the company said it’s buying Worldpay for more than $24 billion while simultaneously selling its Issuer Solutions business to Fidelity National Information Services.
The company said that in acquiring Worldpay, which FIS had purchased in 2019 before later selling a majority stake, it’s expanding its reach and will be able to serve over 6 million customers across more than 175 countries, enabling $3.7 trillion in annual payment volume.
In selling its Issuer Solutions unit to FIS for $13.5 billion, Global Payments is divesting a unit for back-end financial processing that’s long been viewed as a stable provider of growth. In the end, Global Payments is going bigger in providing payments services to merchants, while FIS is focusing on issuer processing.
FIS bought Worldpay for about $35 billion in 2019 and sold most of its stake last year to GTCR.
Global Payments said on Thursday that it obtained committed bridge financing and plans to issue $7.7 billion of debt “to replace the bridge commitment and refinance Worldpay’s outstanding debt.”
Global Payments CEO Cameron Bready called it a “defining day,” and said the transaction gives the company “significantly expanded capabilities, extensive scale, greater market access and an enhanced financial profile.”
But Wall Street was less enthusiastic. While the acquisition gives Global Payments a larger footprint in payment processing, analysts at Mizuho described it as a strategic step backward.
Mizuho reiterated its neutral rating on the stock, warning that “the business could be seeing more meaningful margin pressure than investors acknowledge.” The analysts wrote that FIS won the trade, getting the “crown jewel” with Global Payments getting “more of the same.”
FIS shares rose more than 8% on Thursday.
Both deals are expected to close in the first half of 2026, pending regulatory approval.
The Tesla Cybertruck is in crisis. The automaker is still sitting on a ton of old inventory, which it is now heavily discounting, and it is throttling down production to try to avoid building up the inventory again.
When launching the production version of the Cybertruck in late 2023, Tesla CEO Elon Musk claimed that the vehicle program would reach 250,000 units a year in 2025:
“I think we’ll end up with roughly a quarter million Cybertrucks a year, but I don’t think we’re going to reach that output rate next year. I think we’ll probably reach it sometime in 2025.”
We are now in 2025, and Tesla is expected to currently be selling the Cybertruck at a rate of about 25,000 units a year – a tenth of what Musk predicted.
Earlier this month, we reported that Tesla began the second quarter with 2,400 Cybertrucks in inventory, valued at over $200 million.
This is a real problem for Tesla as many of those Cybertrucks are older 2024 model year units not eligible for the federal tax credit, and even some ‘Foundation Series’, which Tesla stopped building in October 2024 – meaning that Tesla is sitting on some 6-month-old trucks in some cases.
Tesla is now offering deeper discounts on the new inventory of Cybertrucks. The discounts can go as high as $10,000, but the average one is closer to $8,000, which is more than the tax credit:
Despite Tesla’s efforts, the automaker has only reduced its Cybertruck inventory by about 100 units since the beginning of the month.
Tesla is now further throttling down production of the Cybertruck at Gigafactory Texas, according to a new report from Business Insider.
According to two Tesla workers speaking with BI, the automaker has reduced its Cybertruck production teams and now operates at a fraction of its original capacity. It also moved some Cybertruck production workers to Model Y production at the plant.
One of the workers said:
“It feels a lot like they’re filtering people out. The parking lot keeps getting emptier.”
As we previously reported, Tesla has been operating all its factories at approximately 60% capacity to avoid building up excessive inventory amid lower demand.
When it comes to the Cybertruck program, it sounds like Tesla is lowering production even further.
Last week, Tesla launched a new version of the Cybertruck in an attempt to boost demand, but it has been poorly received due to the automaker’s removal of many essential features.
Electrek’s Take
There are a lot of other automakers that would have already given up on the Cybertruck ith these results, but not Tesla. Musk is not one to admit defeat easily.
However, Tesla is running out of options.
The new Cybertruck RWD was a desperate attempt, and I doubt it will work. Now, it sounds like Tesla is further throttling down production – virtually confirming that the new trim didn’t help.
The next step would be a complete production pause.
Again, I don’t think Musk wants to admit defeat, but at some point, it’s inevitable.
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