During the earnings call for the first quarter of 2026, Tesla CEO Elon Musk confirmed that vehicles fitted with the HW3 chip will not be capable of achieving full self-driving (FSD) capabilities without human supervision. In response to this, Tesla plans to offer a "trade-in discount" for vehicles equipped with the AI4 chip. Additionally, Tesla will provide options for owners who have already purchased the FSD feature to trade in their current vehicles for new models featuring AI4 hardware at a discounted price, along with the availability of hardware upgrade services. In the meantime, Tesla will also roll out a "streamlined version" of FSD v14 specifically for HW3 owners. Following this announcement, Tesla investor Ross Gerber voiced his disappointment, highlighting that HW3 owners have incurred substantial losses, with potential liabilities amounting to billions of dollars. He had previously urged Tesla to issue a $10,000 refund to each owner should the latest system fail to deliver autonomous driving without human attendance.