Tesla shares outperformed this week after Tesla AI, an affiliate of Tesla, wrote on X that its Full Self-Driving (FSD) advanced driver assistance software will be rolled out across China and Europe in the first quarter of 2025.
Tesla AI said pending FSD rollouts in China and Europe are "due to popular demand," adding that regulatory approval will first be needed to push the over-the-air update in both regions. The update would enable drivers to activate the advanced driver assistance software.
In July, CEO Elon Musk said FSD regulatory approval for both regions was likely achievable by the end of the year. He said on Thursday that FSD could be launched in right-hand drive markets sometime in the first half of next year.
In April, Beijing gave Tesla the 'green light' to roll out FSD and partner with Chinese tech giant Baidu for mapping and navigation software. Tesla has satisfied multiple data security and privacy requirements to operate in the world's largest EV market.
The approval in April came just days after Musk unexpectedly visited Beijing and met with Premier Li Qiang, who was previously the Communist Party chief in Shanghai when Tesla was setting up its automobile manufacturing plant there.
Also in April, Wedbush Securities senior analyst Dan Ives told Bloomberg TV that Musk's visit to China was a major "watershed moment."
At the time, Bloomberg reported that Musk's move to seek FSD approval in China was to stem Tesla's revenue slump.
Tesla AI also provided a roadmap for near-term rollouts:
Looking ahead, the long-awaited Tesla robotaxi is set to be unveiled on October 10 at the Warner Bros. Discovery movie studio in Burbank, California.