Elon Musk unveils improvements in Tesla's full self-driving technology

On August 6, 2025, Tesla CEO Elon Musk revealed that the company is in the process of enhancing its full self-driving (FSD) technology, aiming for a public release of the improved model by the end of next month, provided that testing progresses successfully. Musk detailed that the new FSD model is being trained with approximately ten times the parameters compared to its predecessor, significantly improving its video compression capabilities. This uptick in parameter size typically correlates with a more sophisticated artificial intelligence system, allowing better utilization of sensors and cameras for improved environmental recognition and navigation. Furthermore, Tesla's self-driving systems have previously come under scrutiny from the U.S. Department of Transportation (DOT), which had launched an Office of Defects Investigation to examine these technologies. The investigation was initiated following reports of crashes involving FSD engaged vehicles, particularly in low visibility scenarios such as fog and dust. According to official findings, there have been incidents where vehicles crashed with the FSD system active, leading to injuries and fatalities, including a pedestrian getting fatally struck. Despite these issues, the enhancements promised by Musk could represent a significant step toward rectifying previous concerns about the safety and reliability of Tesla's self-driving capabilities. As the tech landscape rapidly evolves, many are watching these developments closely, weighed against Tesla's earlier safety-related challenges. The company has faced downward pressure on its stock price, dropping nearly 19% year-to-date by the early days of August 2025, likely connected to both market conditions and increasing scrutiny regarding the functionality of their autonomous driving technologies. Elon Musk's announcement of a potentially upcoming model indicates Tesla's commitment to refining their self-driving technology, underscoring a race within the automotive industry to enhance AI-driven capabilities and improve road safety standards. By training the models with more parameters and focusing on substantial improvements, Tesla hopes to regain trust among consumers and regulators alike while addressing the operational challenges identified in past performance assessments.