Tesla is shifting gears on its referral program, specifically for the Model 3 and Model Y buyers. Until recently, Tesla owners and buyers could earn 2,000 credits for a Model 3 or Model Y referral or purchase. The newly minted change will now allow owners to pocket 10,000 credits for referring someone to a Model 3/Y purchase.
In contrast, Model 3 and Y buyers will not accumulate credits; instead, they will get a $500 price cut and three months of Full Self-Driving (FSD) trial. The awards for Model S and X buyers remain the same at $1,000 off and a 3-month FSD trial.
Enhanced Autopilot and FSD Removed as Rewards
Unfortunately, there are also some drawbacks in these latest updates. Tesla has removed Enhanced Autopilot and FSD as referral rewards. This is a significant blow as these were some of the most attractive awards if you could accumulate enough credits. FSD previously required 120,000 credits.
However, the FSD trial promises an exciting opportunity for new owners to experience a key feature of Tesla's software ecosystem. It includes Navigate on Autopilot, Auto Lane Change, Autopark, and Smart Summon. Unfortunately, owners who receive a vehicle with hardware 4.0 will not be able to activate FSD Beta in the U.S. and Canada yet until HW4 is supported.
Referral Program Limit
Along with these reward updates, Tesla has also imposed a strict limit on the number of referrals an owner can obtain.
According to Tesla's updated terms, owners are now limited to five referrals per calendar year. So while Tesla is increasing the rewards for Model 3 and Model Y referrals, owners will not be limited to the five referrals across all of their products, including solar. Tesla's referral program continues evolving, so this could also change at any time.
Although an owner is limited to five referrals per calendar year, a buyer may continue to use any referral code to be eligible for the discount and free FSD trial, even if the owner has already met the referral limit.
Tesla China Cash Rewards Program
Tesla also has plans to enhance its cash rewards program in China. The U.S.-based automaker's cash rewards in China operate similarly to its referral program in the United States. Existing Tesla owners who refer the company's cars to others could receive cash rewards if the recommendation concludes in a vehicle sale. The updated referral program will be applied to Model 3 and Model Y sales in China.
Implications for Tesla's Ecosystem
The changes to Tesla's referral program have significant implications for its broader ecosystem. Firstly, the revamped rewards incentivize owners to preach Tesla's products, increasing the brand's word-of-mouth publicity. It also adds value for the new owners, who now get a price reduction and the chance to experience the FSD trial.
Besides the referral limit, these changes do not appear to affect Tesla's Solar Roof and Solar Panel referral program. Similarly, the recently adjusted referral program for Model S/X, offering 20,000 referral credits, a cash discount, and a three-month trial of FSD, remains unaffected.
The revamp of the referral program showcases Tesla's strategy to enhance customer experience and increase the uptake of its vehicles. For referring owners and new buyers, it's clear that Tesla aims to deliver more value and improve the benefits of being part of the Tesla community.
Last night, Tesla released software update 2024.45.25.15, which includes FSD V12.6.1. This update adds support for all HW3 vehicles, including the Model 3 and Model Y. We’re excited to see the continued support for HW3 owners.
FSD V12.6.1
V12.6.1 is now going wide, according to Ashok Elluswamy, Tesla’s VP of AI. This update is going to the Model 3 and Model Y for the first time - as only the Model S and Model X were included in FSD V12.6.
V12.6 is a big step forward for HW3 - it includes End-to-End on Highway, Improved City Streets Behavior, and Smoother and More Accurate Tracking - all contributing towards a better, smoother, and more comfortable build of FSD. You can read our comparison between FSD V12.6 and V13.2.2 here.
In short, FSD V12.6 performs considerably closer to V13 than V12.5.4.2 - which is a massive improvement. It performs as well as the Cybertruck version of FSD V13, which is still missing a few features when compared to other HW4 vehicles, but it’s a great sign for HW3. A lot of the improvements can be pointed to in the improvements to lane selection and decision-making - the vehicle tends to hesitate far less on V12.6, meaning the ride is a lot smoother. Many early V12.6 testers mentioned that it felt more like V13-mini than anything else.
Legacy Model S & X
We haven’t seen this update hit any legacy Model S and Model X vehicles just yet. We’re not sure whether Ashok’s statement of “generally” applies here - but it should. If you do get the update, please let us know.
Legacy Model S and Model X vehicles are still on an older FSD build and potentially won’t see another FSD update for a little while longer. While they do have the same FSD hardware as other vehicles, there are enough hardware differences that require a build specifically for these vehicles.
FSD V12.6.1 is going out now to the redesigned Model S and X with HW3 and all Model 3 and Model Y vehicles with HW3. The initial wave went out last night, and we expect to see more later today or tomorrow. If this release ends up going “wide,” we should see much larger waves go out next week.
Tesla has issued a recall for some vehicles due to issues linked to a revision of the Hardware 4 (HW4) computer that was introduced this past November. This recall affects all vehicles with the revised hardware except for the Cybertruck, as it uses a slightly modified version of the HW4 system.
Many vehicle owners have reported a complete failure of their Autopilot computer, which not only leaves the vehicle without FSD and Autopilot but also disables many of the active safety features that make a Tesla what it is.
Let’s take a look at this recall - because the recall is partially physical and partially a software recall.
HW4 Failure
Tesla has identified the failure and flagged it to the U.S. NHTSA (but not Transport Canada or Euro NCAP at the time of publishing) as a recall.
Tesla mentions that the vehicle’s FSD computer circuit board may short circuit, resulting in the loss of the rearview camera image. The recall itself is focused on the rearview camera - as not having a functional rearview camera breaks a Federal Motor Vehicle Safety Standard. However, it does impact more than just the rearview camera.
As previously mentioned, users have experienced the full loss of Autopilot and FSD on these vehicles, as well as reduced traction control and removal of safety features such as automatic emergency braking, collision avoidance assist, and forward collision warnings.
While the vehicle remains driveable, it is not necessarily a good idea to drive the vehicle with many of these features, especially with the reduced traction control noted by many people. We’ve already noted that while Tesla has been sending tow trucks to pick up some vehicles, it is also prompting owners to drive the vehicle to their service center in some cases.
Remedy
Unlike most of Tesla’s recalls, this one isn’t entirely an OTA recall, owing to the fact that people have already experienced circuit board shorts and are already waiting for replacements.
The software portion of the recall has already been mostly completed for any vehicles with Tesla software update 2024.45.25.3 or greater. However, a significant portion of the tracked fleet remains on update 2024.44.25.2 (approximately 20%), so we recommend updating your HW4 vehicle whenever you receive the notification.
On the hardware side, Tesla is immediately identifying and replacing hardware that has had circuit board failure. Tesla is also reaching out to customers who have expressed intermittent issues with Autopilot features, active safety features, or vehicle cameras that don't display correctly. If you have experienced any of these issues in a late 2024 vehicle, we recommend submitting a service ticket with Tesla to ensure that your vehicle isn’t affected by this recall.
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