Elon Musk Says Self-Driving Cars Is ‘Essentially Solved’ In US Despite Regulatory Scrutiny On FSD: Eyes Launching The Software In Europe, China Next Month

Tesla FSD is yet to enable fully autonomous driving and requires active driver supervision.

• Musk said robotaxis will be very “widespread” in the U.S. by the end of the year. 
• The billionaire CEO also noted that the company’s humanoid robots called Optimus are currently performing simple tasks at the company’s factories. 
• Musk eyes launching FSD in Europe next month and selling Optimus to the public by the end of 2027.

Tesla Inc (TSLA) CEO Elon Musk on Thursday said that the company now eyes launching its full self driving technology in Europe next month, as self-driving is “essentially solved” in the U.S.

Musk said in an appearance at the World Economic Forum in Davos, Switzerland, on Thursday that Tesla is looking to also launch FSD in China, following the same timeline as Europe.

“Self-driving cars is essentially a solved problem at this point…. We hope to get Supervised self-driving approval in Europe next month, and hopefully similar timing for China,” Musk said, while also adding that robotaxis will be very “widespread” in the U.S. by the end of this year.

TSLA shares traded 2% higher at the time of writing.

Regulatory Concerns Around FSD Persist

However, Tesla FSD is yet to enable fully autonomous driving. It requires active driver supervision in the U.S. and has been under scrutiny by the country’s auto safety regulator over alleged traffic violations and other safety concerns.

Earlier this month, the U.S. National Highway Traffic Safety Administration granted Tesla extended time until Feb. 23, 2026, to review potential traffic violations involving its vehicles equipped with FSD as part of a probe initiated in October.

The NHTSA opened the probe into approximately 2.9 million Tesla (TSLA) vehicles in October due to concerns about traffic safety law violations involving vehicles equipped with FSD. The regulator stated that its Office of Defects Investigation identified several incidents where FSD-induced vehicle behavior violated traffic safety laws, including scenarios where a vehicle operating with FSD proceeded into an intersection despite a red traffic signal. The regulator then stated it is aware of a total of 58 incidents, including 23 injuries and 14 crashes or fires that may be related to the potential defect.

Rival Performance

Earlier today, Alphabet Inc’s robotaxi unit Waymo also announced that it has begun offering autonomous ride hailing services to the public in Miami.

Tesla also runs a robotaxi service in addition to providing driver assistance to individual customers with FSD.

However, unlike Waymo, whose services span Austin, Atlanta, Los Angeles, Phoenix and the San Francisco Bay Area, Tesla’s service is limited and mostly supervised by safety drivers who can take over as required. Waymo, meanwhile, offers fully driverless rides to the public.

Humanoid Robots

Tesla is currently attempting to move into artificial intelligence and robotics in addition to electric vehicles with investments into autonomous driving and humanoid robots.

On Thursday, Musk also noted that the company’s humanoid robots called Optimus are currently performing simple tasks at the company’s factories and will be available to sell to the public by the end of 2027.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment around TSLA stock rose from ‘neutral’ to ‘bullish’ territory over the past 24 hours, while message volume increased from ‘low’ to ‘normal’ levels.

A Stocktwits opined that Tesla’s current prices are “sooo unsustainable.”

Another voiced hopes for FSD enabling autonomous driving in time.

TSLA stock has gained 6% over the past 12 months. 

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