Tesla Promises FSD Fix for Older Cars, Optimus Robot Production Looms

For Tesla owners who purchased Full Self-Driving (FSD) capabilities on vehicles manufactured between 2019 and early 2023, there's finally a glimmer of hope, albeit with a significant asterisk. During the company's latest earnings call, Elon Musk acknowledged that the Hardware 3 computers in these vehicles simply lack the necessary power for unsupervised FSD. This is a stark admission, considering Hardware 3 was specifically designed to enable this very feature.

Musk admitted back in January 2025 that an upgrade would be necessary for Hardware 3 owners. Now, he's detailed the issue, explaining that Hardware 3 possesses only an eighth of the memory bandwidth found in the newer Hardware 4. This memory bandwidth is apparently a critical component for achieving true autonomous driving. Tesla plans to address this by upgrading and replacing computers and cameras on affected vehicles, though a concrete plan is still in the works. Musk suggested that converting all Hardware 3 cars to Hardware 4 "over time" makes sense.

The logistical challenge is substantial, with an estimated 4 million cars equipped with Hardware 3. To handle the sheer volume of upgrades efficiently, Musk proposed setting up "microfactories or small factories in major metropolitan areas." However, he provided no timeline for the construction of these facilities or even if they have been initiated. In the interim, Tesla will be rolling out FSD version 14 for Hardware 3 around the end of June.

Beyond the FSD conundrum, Musk also shared an update on Tesla's ambitious Optimus robot project. The Fremont factory is slated to begin manufacturing the humanoid robots in late July or August. This move necessitates a significant shift, as Tesla recently decided to cease production of its Model S and X cars at the same facility to make way for the robot assembly lines. The last of these luxury vehicles will roll off the production line in May, leaving a tight window for the factory's transformation.