TESLA RELEASES 'SENTIENT' FSD 14.3. STOCK SLASHES EARLY GAINS

On Tuesday night, TeslaTSLA rolled out the newest update to its Full Self-Driving (FSD) software, version 14.3. Tesla stock rose slightly Wednesday morning, paring early gains and lagging the broad market rally on the U.S.-Iran ceasefire.

The latest iteration of FSD features improvements to self-driving tech that are meant to help cars better navigate some of the most complex driving situations. Before its release, CEO Elon Musk had touted FSD version 14.3 as one of Tesla's most significant software updates. In October, Musk had said FSD would make a car "feel like it is sentient."

Tesla will report first-quarter earnings on April 22.

New Tesla FSD v14.3

The release has 20% faster reaction times, upgrades to network of cameras that monitor the road and improvements to the neural network's training stage, according to an X post from Tesla.

Tesla upgraded the Reinforcement Learning phase of training, which is when the software practices driving in real-world scenarios, according to Tesla. Doing this should, in theory, help FSD become more familiar with rarer driving situations. Among the examples the company cited were improvements to detecting small animals, "rare and unusual objects" that were in the car's path, and uncommon vehicles like school busses and emergency vehicles, according to the company. FSD also made improved navigation in "complex intersections" with things like curved roads, and reactions to other drivers that violated right of way rules.

FSD 14.3 also included updates to the car's parking when in self-driving mode.

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Tesla also announced other features that would be released at a later date: expanding AI reasoning that was already included in its previous version, better avoidance of potholes, and improvements to the driver monitoring system that makes sure drivers are paying attention to the road when using FSD.

Tesla FSD v14 has made clear improvements over older versions of the software, but remains a Level 2 driver-assistance system. Tesla has a handful of robotaxis without any in-vehicle monitor that operate in a small part of Austin, Texas. But widespread Level 4 self-driving remains a goal.

FSD Global Rollout

At the moment, FSD is available in seven countries: the U.S., Canada, China, Mexico, Australia, New Zealand and South Korea. Expanding the system to new geographies is critical to Tesla's future.

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So far this year, Tesla has made strides toward approvals in Europe and the Middle East. In Europe, Tesla has said it expects to get its first approval on the continent from Dutch regulators as early as this week. Meanwhile, in the Middle East, Tesla started trial runs of FSD in the United Arab Emirates. Israel has also approved early tests of FSD.

Earlier this year, Tesla changed its pricing for FSD. The company now no longer allows one-time purchases of FSD made with buying a new car. Instead, Tesla operates on a subscription-only model, charging $99 a month for the software.

Earlier this week, the National Highway Traffic Safety Administration closed an investigation into Tesla FSD's Actually Smart Summon feature, after it found that it did not cause any serious accidents. However, a separate probe into whether FSD's system adequately alerts drivers when its cameras cannot properly see the road remains open.

Tesla Stock

Tesla stock climbed 1.1% to 350.42 after popping to 364.50 after Wednesday's open. The broader market also gained, with the S&P 500 up 2.4%. The stock had fallen 3.9% earlier in the week, according to MarketSurge, hitting a seven-month low Tuesday. Shares are on a seven-week losing streak.

However, longtime Tesla bull and ARK Invest CEO Cathie Wood was undeterred by the ongoing slump. Sensing a buying opportunity, Wood bought shares in Tesla across several ARK ETFs on Monday for the first time since last July, making further buys on Tuesday.

Tesla stock is down over 20% this year.

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2026-04-08T12:46:24Z