Tesla Teases Major Announcement for Australia and New Zealand; May Introduce FSD

Tesla is teasing a major announcement for Australia and New Zealand for this Friday, which is exciting a lot of Tesla owners in the region. While Tesla has remained tight-lipped about the details, the timing and context point to two possibilities.

Tesla will either launch FSD (Supervised) in the region or launch the brand-new 6-seater Model Y L in the two countries. Both would be hugely significant for the region. One would expand FSD outside of North America and China and into a right-hand drive country for the first time. While the other would introduce a highly anticipated variant of the Model Y, built for families.

The Case for FSD

For years, the arrival of FSD in Australia and New Zealand has been a question of when, not if, especially following Tesla’s demonstrations of FSD working in Sydney, and confirming that there would be an upcoming rollout to the two countries in the future.

Tesla’s video featuring FSD being tested on the streets of Sydney was followed by the confirmation from a regional executive that FSD was just in the final stretch of regulatory hurdles.

The launch of FSD in the region would instantly upgrade the capability of every modern Tesla on the road, taking them from the basic Autopilot capabilities to a system capable of navigating complex city streets, intersections, and roundabouts. It’d be a much more drastic update than FSD in North America, where the improvements to Autopilot and FSD were gradual and came over time.

Tesla would likely launch on HW4 vehicles first, followed by the older HW3 vehicles, once safety and regulatory compliance have been confirmed.

FSD is, without a doubt, the most anticipated feature for any Tesla owner that doesn’t have access to it today.

The Case for the Model Y L

While FSD would be a massive software story, we already knew it was on the way. This hyped-up announcement could also be about the unveiling of new hardware. The leading contender for the second option of this announcement is Tesla’s longer, 6-seater Model Y L for the Australian and New Zealand markets.

This theory has some momentum behind it, especially as the vehicle has already been unveiled in China and is likely destined for a global rollout, even if it may not be coming to North America in a timely fashion.

The Model Y L fills a big gap in Tesla’s local product lineup. It offers a more spacious, family-friendly three-row configuration, far better than the current 5-seat Model Y, but without the premium overhead of the larger Model X. For a market that loves SUVs and family-oriented vehicles, the Model Y L is a definitive choice.

The Underdog – The Cybertruck

There’s one other option that many Australians have been clamoring for, and that’s the potential launch of the Cybertruck in Australia and New Zealand. Tesla just launched the Cybertruck in South Korea, the first time the truck has become available outside of North America.

Australia and neighboring countries are famous for their unique Utes and love of pickup trucks, just like America, so it only makes sense that the genre-breaking Cybertruck would eventually make its debut on the other side of the planet in the land down under.

A Win-Win for Owners

Regardless of which of the two major (or one minor) possibility is revealed on Friday, the outcome is a win for Tesla fans in Australia and New Zealand. It will either be the arrival of the most advanced driver assist software in the world, the launch of a practical new family vehicle, or the launch of the unique Cybertruck that many have been waiting for.

Either way, for those Kiwis and Aussies, this week is shaping up to be one of the most exciting weeks of Tesla history in the region.

Tesla has dramatically expanded its Robotaxi service area in Austin, marking the third and largest expansion since the service launched in late June with just 20 square miles of coverage.

The newest expansion adds about 86 square miles, doubling the total Robotaxi geofence to roughly 171 square miles, primarily expanding the area northwest and east of the pr

The newest expansion adds about 86 square miles, doubling the total Robotaxi geofence to roughly 171 square miles, primarily expanding the area northwest and east of the previous boundary. The new service area now also includes the Austin airport for the first time.

Waymo vs. Tesla

With this update, Tesla retakes the crown for the largest autonomous ride-hailing service area in Austin, overtaking Waymo.

Tesla has been expanding rapidly, growing its footprint three times in just two months. While Waymo overtook Tesla for a short period, Tesla has now taken the lead again. Waymo typically expands at a much slower rate, so it’s unlikely that it’ll surpass Tesla any time soon.

However, Waymo still has the distinct advantage of not having a safety monitor in the vehicle, which is the only way these autonomous taxi services will scale. Once Tesla can remove the need for a monitor, it will be on the clear path to making the service profitable.

Safety Drivers

Tesla has stated that it will remove safety monitors who ride shotgun in the vehicle sometime this year. Tesla has the data on how often the safety monitor intervenes, so once that number is near zero, we expect them to start considering it. Right now, any potential issues, even if minor, could make it more difficult for Tesla to continue expanding.

Tesla recently also launched in the Bay Area, but due to regulations in California, Tesla has a safety driver behind the wheel. The geofence in the Bay Area is much larger than in Austin, likely due to Tesla knowing they have the driver to fall back on.

New Robotaxi App

Several days ago, Tesla updated the Robotaxi app with another set of improvements. The app is now at version 25.8.5. This latest release now lets riders automatically unlock the vehicle as they walk up to it, much like would happen in your own Tesla.

Previously, the Robotaxi arrived unlocked, and ride-hailers needed to physically show the Robotaxi app to the driver to confirm they were the intended party. This improvement makes the whole thing a lot more official and safer.

With this latest service area expansion and the constant Robotaxi app improvements, it’s clear that Tesla plans to continue to expand and improve the service. While the service hasn’t introduced autonomy everywhere overnight, the constant improvements and expansion put Tesla in a good spot to become the leader of true autonomous driving and put Robotaxis everywhere.

For years, one of the biggest hurdles for Tesla’s FSD adoption has been its significant upfront cost, which has varied over time. While the experience and technology are nothing short of revolutionary, the multi-thousand-dollar price tag can be a difficult commitment for buyers at the time of purchase.

Tesla is attempting to change that dynamic following feedback from the community. Yesterday, they updated their design studio, which now shows a nearly full-screen video of FSD once you reach the FSD purchasing section.

A future change will see Tesla show both the up-front purchase price of FSD (Supervised) and the monthly subscription cost. This lets Tesla get FSD into more customers’ hands, even if the upfront cost is too high for the buyer. The buyer is instantly made aware of the subscription option and can subscribe to FSD right from the vehicle order page.

The move, confirmed by Tesla VP Raj Jegannthan, will offer users the ability to purchase, subscribe, or receive a free trial of FSD. This will result in every owner immediately having access to FSD from the moment they pick up their vehicle, even if they’re using the free trial.

Yes, will optimize the design to offer both full purchase, subscriptions(with free trial) on the configurator.

— Raj Jegannathan (@r_jegaa) August 24, 2025 The Power of Subscription

Currently, the FSD option in the configurator is presented as a large, one-time purchase. While a subscription option has been available in the US for years, and Canada for a little over a year, it’s something many new buyers may not even know until someone tells them about it.

By elevating the subscription option to the same level as the full purchase price, Tesla is providing a much more accessible and noticeable entry point. After all, a recurring monthly fee is a far more manageable proposition for many households than a large, single payment rolled directly into your car loan.

This change also makes it significantly easier for a customer who is just curious about FSD but hesitates about the long-term financial commitment to say yes and try the feature out. It shifts the decision from a major capital expense to a flexible and cancelable service.

The Ultimate “Try Before You Buy”

Perhaps the best part of this new strategy is the integration of a free trial directly into the order flow. This is the ultimate low-risk sales tool, built upon Tesla’s confidence in FSD itself. It allows FSD to sell itself – the software equivalent of butts in seats. Currently, the only way to receive a free 3-month trial of FSD is to use a referral code.

By giving every new owner a full taste of FSD’s capabilities for a limited time, Tesla is betting that the experience of the car driving itself will be compelling enough to convert a significant percentage of trial users into paid subscribers or full purchasers.

This try-before-you-buy model helps the customer make an informed decision on their own real-world experience.

A Sales Funnel

This new suite of options will be the final piece in helping get FSD in front of customers, right within the configurator. The page flow will now have three stages.

See It – A full-page, immersive video of FSD in action serves as the initial wow moment for customers, while also educating them on FSD’s capabilities. The video takes the user through different scenarios and shows them how the vehicle completes lane changes, yields to pedestrians, and performs roundabouts.

Try It – The free trial option allows a no-risk, hands-on experience whenever and wherever the customer wants.

Buy It – The presentation of both a subscription option and a full purchase allows customers to choose whichever method they’re most comfortable with, and which best suits their budget and commitment to FSD.

This appears to be an effective multi-layered strategy to hook customers on FSD and increase the take rate. After all, the more customers using FSD, the more data. The more data, the faster Tesla can train. The faster Tesla can train, the better FSD gets.