Tesla is actively pursuing advancements in artificial intelligence integration within its vehicles while simultaneously engaging in a legal dispute with California regulators regarding its autonomous driving systems. The company is accelerating the adoption of Grok AI, developed by CEO Elon Musk's xAI venture, into its car functionalities. Over the past several months, Tesla has been incorporating more Grok features, enabling owners to interact with their vehicles using natural language questions. Musk has indicated that Grok is poised to evolve beyond basic queries, with promises of more sophisticated capabilities on the horizon.

A significant upcoming enhancement for Tesla's Grok-powered voice control is the ability to verbally manage automated parking features. While the latest 2025 holiday update already improved voice control for navigation—allowing users to add waypoints, destinations, or reroute trips using natural language commands—the parking function has been largely automated. Musk confirmed via X that advanced verbal control for parking is “coming.” Although specific details regarding the exact timing and implementation remain unfleshed out, it is anticipated to be part of an upcoming major software update. This feature aims to provide owners with more precise control over where their Tesla parks, potentially offering a superior experience compared to the current 'Park at Destination' system.

Concurrently, Tesla finds itself in an ongoing legal battle with the state of California and its Department of Motor Vehicles (DMV). This dispute centers on the naming and capabilities of Tesla's Autopilot and Full Self-Driving autonomous systems. The California DMV had previously mandated changes, asserting that Tesla was making effectively false claims about its automated driving features. As a result, Tesla removed “Autopilot” from its consumer website and rebranded “Full Self-Driving” as “Full Self-Driving (Supervised).” These adjustments were made to avert a potential 30-day sales and manufacturing suspension in California.

However, these concessions were apparently insufficient for Tesla, as the company has since filed a lawsuit against the state's vehicle regulatory body. Tesla is contesting the DMV's finding that it engaged in false advertising, despite having complied with the required naming changes. The company emphasizes that it provides numerous disclaimers to owners regarding the limitations and responsibilities associated with its systems. Furthermore, Full Self-Driving (Supervised)—a system that has received industry recognition, including a MotorTrend Best Tech honor—is now offered as a pay-to-play subscription service.

The timing of this legal action is particularly notable, occurring shortly after Tesla announced that its fully autonomous Cybercab is entering production. Any perception of ambiguity or lack of transparency concerning Tesla's autonomous driving capabilities could potentially tarnish the Cybercab's rollout and impede the development of Full Self-Driving, a technology Musk continues to heavily promote as being very close to achieving full autonomy. Tesla's dual focus on advancing AI innovation through Grok and challenging regulatory hurdles highlights its aggressive stance in both technological development and market positioning.