Tesla enthusiasts and investors are buzzing with excitement and debate following two major developments: leaks of the Cybercab on the production line indicate an unexpected inclusion of steering wheels and pedals, while European regulators edge closer to granting approval for Tesla's Full Self-Driving (FSD) system. Let’s examine both stories that have captured the Tesla community’s attention.

Cybercab Production Line Leaks

Recent leaks from Tesla’s production line showcase two Cybercabs equipped with steering wheels and pedals, igniting a fierce debate among investors and electric vehicle enthusiasts. The image, shared by a user known as “Phenom,” suggests that initial Cybercab models may deviate from Elon Musk’s earlier vision of a fully autonomous robo-taxi with no manual controls.

Steering Wheels and Pedals: A Temporary Feature?

Tesla initially promised the Cybercab as a dedicated robo-taxi capable of operating autonomously without any human intervention. However, the leaked images highlight vehicles with functional steering wheels and pedals, raising questions about their intended purpose. Some experts speculate these additions may only exist on the first batch of Cybercabs as part of the testing process or to comply with regulatory approvals before transitioning to a fully autonomous design.

Farzod, a notable voice in the Tesla community, pointed out that these Cybercabs also have adjustable seats positioned closer to the front—another feature diverging from earlier concept designs. Contrasting this, earlier prototypes appeared to have static, rear-positioned seats more indicative of a passenger-only, autonomous vehicle.

While some argue these leaked vehicles are simply test units and not representative of the final product, others believe Tesla may release an initial batch of Cybercabs with manual controls for early customer use. If such models are sold, enthusiasts like Farzod claim they would eagerly buy one, even if only to prepare for future integration with Tesla’s robo-taxi network.

Divided Opinions on the Strategy

The Tesla community remains split on the significance of these leaks. Some argue that adding steering wheels and pedals could undermine Tesla’s long-term goals for the Cybercab as a fully autonomous robo-taxi. Others view this as a pragmatic step to bring Cybercabs to market sooner while balancing regulatory and customer flexibility. With mass production slated to begin scaling within the next month, the debate shows no sign of slowing. Observers believe Tesla may use these first models as a stepping stone toward refining the technology and functionality of its autonomous fleet.

Major FSD Progress in Europe

While the Cybercab leaks have sparked lively discussion, Tesla’s Full Self-Driving (FSD) technology is making significant strides across the Atlantic. The company announced progress on achieving regulatory approval for its supervised FSD system in Europe, marking a breakthrough that could dramatically expand Tesla’s total addressable market (TAM).

Approval Process Nearing the Finish Line

Tesla has completed final vehicle testing in cooperation with RDW, the Dutch road traffic agency, and submitted required documentation for approval under the United Nations Regulation 157 (UNR157). RDW is expected to issue a decision by April 10, a slight delay from the original target date of March 20. This approval in the Netherlands is viewed as a key staging ground for broader adoption across Europe.

Following approval in the Netherlands, other European Union countries are likely to recognize the decision, potentially leading to EU-wide acceptance by summer 2024. If this happens, supervised FSD could be rolled out to Tesla drivers across the region, offering significant revenue opportunities for the company.

The Numbers Behind the Opportunity

Tesla has approximately 1.5 million vehicles on European roads. Of these, around 1 million are equipped with the necessary hardware (HW3 or later) to support FSD. If just 50% of compatible vehicle owners opt for the $99 monthly subscription, Tesla could generate $600 million in recurring annual revenue—around $1.2 billion if uptake reaches 100%. With 80% profit margins on software, this would provide a significant financial boost to Tesla.

Moreover, Europe’s notoriously strict regulatory standards mean that FSD approval there could pave the way for quicker adoption in other regions like China. Tesla has already tested the supervised FSD system on over 1.6 million kilometers of European roads, conducted 4,500 track test scenarios, and produced extensive research documentation. This foundational work increases the likelihood of future “unsupervised” FSD approvals down the line.

Strategic Implications

The approval of supervised FSD in Europe would not only increase Tesla’s profitability but also give the company a competitive edge. As governments move toward requiring advanced driver-assistance systems in vehicles, Tesla’s combination of hardware and software innovation puts it ahead of competitors still scrambling to develop similar capabilities.

What Comes Next for Tesla’s Robo-Taxi Plans?

The Cybercab leaks and progress on FSD underscore Tesla’s growing momentum in mobility innovation. While the Cybercab’s final design remains unclear, the early emergence of steering-equipped models suggests Tesla is taking a phased approach to achieving its long-term goals.

Similarly, progress in Europe reflects Tesla’s ability to navigate complex regulatory environments. European approval of FSD could lead to rapid adoption across the continent and signal to other markets that Tesla’s self-driving systems are ready for prime time.

Practical Takeaways

1. For Investors: The addition of steering wheels in leaked Cybercabs may indicate Tesla is balancing immediate market opportunities with its autonomous vision. FSD approval in Europe could unlock substantial subscription revenues and signal readiness for other markets.
2. For Tesla Enthusiasts: Keep an eye on how Tesla resolves the Cybercab design debate. If early models come equipped with manual controls, they could still offer participation in the robo-taxi revolution as the technology advances.
3. Regulatory Watch: If RDW approves FSD in April, it sets a precedent for faster approval timelines in regions like North America and Asia. This could accelerate Tesla’s vision of unsupervised driving globally.

The Cybercab and FSD developments confirm Tesla’s commitment to dominating both the EV and autonomous driving markets. Regardless of short-term challenges or debates, the long-term implications are positive for the company and its supporters.