Tesla Inc.
What Happened: Elon Musk's EV giant aims to roll out this advanced feature in China by the end of the year, as per three anonymous sources, Reuters reported on Thursday. This move is part of Tesla's broader strategy to expand its self-driving technology globally.
The company is also contemplating offering the FSD software as a monthly subscription to Chinese users, which could provide a new revenue stream. Currently, Tesla charges a one-time fee of 64,000 yuan ($8,828.32) for FSD in China.
A successful registration with China's Ministry of Industry and Information Technology will allow Tesla to test the software internally on public roads before making it available to customers. This would mark a significant step forward for Tesla in its second-largest market.
CEO Musk has indicated that the latest version of FSD, version 12, gives him confidence in achieving fully autonomous driving systems. Tesla's competitors, including Huawei and Xpeng, are also developing similar technologies but face challenges in matching Tesla's data and computing power capabilities.
Tesla has yet to respond to the queries sent by Benzinga at the time of publishing.
Why It Matters: Tesla's push to introduce its FSD software in China comes on the heels of several strategic moves aimed at bolstering its presence in the country. In April, a Redditor suggested that Tesla's FSD approval in China could be a strategic move to facilitate the entry of Chinese electric vehicles into the U.S. market.
In May, reports emerged that Tesla was considering establishing a data center in China to enhance its autonomous driving technology. This move is seen as a way to comply with local data regulations and improve the performance of its self-driving software.
Most recently, a screenshot leak hinted that Tesla employees in China had been registered for the FSD Beta program, suggesting an impending approval from Beijing. This leak has fueled speculation about the imminent launch of FSD in the Chinese market.
Price Action: According to Benzinga Pro, Tesla stock closed at $176.19 on Wednesday.
