Tesla stock
Tesla initiated the rollout of "FSD v14 Lite" (firmware 2026.20.5.1) for approximately 4 million vehicles equipped with Hardware 3 (AI3) on June 29, 2026. This update utilizes model distillation to port neural network intelligence from the more powerful AI4 platform to older compute hardware. The release introduces improved navigation handling, enhanced pedestrian interaction, and autonomous parking and reversing capabilities. This deployment is a strategic effort to maintain software parity across Tesla's legacy fleet and address investor concerns regarding the long--term viability of older hardware for autonomous operations.