Tesla Motors’ plan to upgrade the Autopilot system in its vehicles could boost confidence in the company, according to analysts. On Monday, the analysts gave positive reviews on the upgrade of the Autopilot system. Analysts believe it will be better for the safety of drivers and passengers and for the future of the automaker, reports the Los Angeles Times.
Analysts positive on Autopilot upgrade
Tesla’s CEO Elon Musk disclosed the improvements on Sunday. The upgrade comes after the fatal crash and death of a driver who was driving his Model S on Autopilot. The upgraded Autopilot will not just depend on the camera but also on radar in seeing better and avoid collisions.
Jessica Caldwell, a senior analyst with the automotive site Edmunds.com, said this upgrade was required from the automaker, and that accident had to be addressed. Federal traffic safety regulators are still investigating the crash, and there have been some other accidents involving Tesla’s Autopilot feature.
The changes by the automaker illustrate that it is still ahead in semi-autonomous driving features, said Rob Enderle, president of the technology strategy firm Enderle Group.
Also Musk said Tesla’s Autopilot shift to radar might have saved the life of the driver in the Model S crash. He added that no car can provide complete safety, but the enhancements mean the Model X and Model S will be “by far the safest car on the road.”
Wall Street welcomes Tesla Autopilot upgrade
Tesla and its executives have always said that the tech is not foolproof, and the driver needs to be prepared to take over at any time. Musk said that the feature would now make much more effective use of radar to help guide the electric cars and provide more safeguards to make sure the driver remains alert at the wheel when Autopilot is engaged. The updates are expected to be rolled out within the coming two weeks.
Wall Street welcomed the announcement by the EV firm. Tesla’s stock rose as much as 3.5% in intra-day trade before paring some profits. Before Monday’s gain, over the past three sessions, the stock had tumbled 8.3% and closed at its lowest level since June 24. However, it has lost 6.3% this month and 17% year to date in comparison to the S&P 500 index’s 0.6% in September so far, and 5.5% profit year to date.
On Monday, Tesla shares closed up 1.97% at $198.30.