Elon Musk remains committed to Tesla’s vision of self-driving technology, but the company is facing challenges in convincing its customers to pay for Full Self-Driving (FSD). Despite Musk’s bold claims about the future of autonomous vehicles, adoption of the service remains low, with Tesla’s CFO Vaibhav Taneja revealing during the company’s latest earnings call that only about 12% of Tesla’s current vehicle fleet has paid for FSD. This figure highlights a growing gap between Musk’s ambitious goals and real-world customer behavior. While Tesla reported record quarterly revenue of $28.1 billion, FSD revenue actually declined compared to the same period last year, when the company earned $326 million. The drop is attributed to a one-time boost in FSD revenue from feature rollouts in 2023, such as Actually Smart Summon and a Cybertruck-specific version of the software. FSD, which allows vehicles to navigate roads, change lanes, and park autonomously under driver supervision, is priced at $8,000 upfront or $99 per month via subscription. Despite the high cost, demand has not kept pace with expectations. The service is not available in key markets like Europe and China due to ongoing regulatory hurdles, and Tesla has not set a clear timeline for its launch in those regions. In the U.S., FSD has drawn scrutiny from regulators. The National Highway Traffic Safety Administration (NHTSA) recently launched a federal investigation into the system after reports emerged of Tesla vehicles with FSD enabled running red lights and making unsafe maneuvers. These incidents have fueled concerns about safety and oversight. Tesla has also faced legal challenges. In August, a Florida judge ordered the company to pay $242.5 million in damages over a fatal 2019 crash involving a Tesla operating Autopilot, the predecessor to FSD. Tesla has appealed the decision. Despite these setbacks, Musk remains defiantly optimistic. During the earnings call, he emphasized that Tesla’s upcoming rollout of “unsupervised” FSD and its planned robotaxi service could revolutionize transportation. “I think people just don’t quite appreciate the degree to which this will take off. Honestly, it’s going to be like a shock wave,” Musk said. The success of FSD is not just critical for Tesla’s technological future—it’s central to Musk’s proposed $1 trillion compensation package. One of the key milestones in that plan is reaching 10 million FSD subscribers by 2035. Achieving that goal will require overcoming skepticism, regulatory delays, and lingering safety concerns. For now, Tesla’s vision of a self-driving future remains ambitious, but far from fully realized.