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I don't think anyone doubted that, but begs the question, if V12 can respond appropriately to complex situations, then doesn't it follow that with more training, it would be able to iron out the other kinks?

Perhaps the answer is not with the current hardware, but I still think Tesla is doing some sort of HW3 emulation with HW4 right now

Elon confirms my thoughts about HW4 being run in emulation:

 
On the way back I switched to manual speed control. Made it home without any interventions, but it’s a little slow and the car took 30 seconds to reach max set speed if it got there at all.
On 12.3 what I see is that speed generally goes up to max on 4 lane (two lanes each way) roads but does not on 2 lane (one each way). My set speed is 12% higher (to make it 40 mph on 35 mph roads that I mostly drive on).
 
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1st drive- 12.3.2.1 75 miles. 75% highway. Zero disengagements but that is now the norm for almost all my drives.
  • First time ever I got no phantom braking on a short road with fencing on either side. Although V12.3 reduced phantom braking didn't eliminate it. That is until now. Fantastic.
  • Small improvement in speed control but more work needs to be done.
  • Highway- yes we know it is still V11 but we also know there have been a few minor changes to the highway stack. I definitely noticed some improvement in speed control reducing the need to use the scroll wheel.
  • Parking Assist- Worked really well when I drove slowly thru a Target parking lot. However, is there a way to use parking assist while still navigating a route? I turned into the Target parking lot and the destination was at the front of the store. Passed a dozen parking spots I wanted to park in but FSD just went to the destination PIN. Is there a way to address this or do we need Tesla to add improvements?
 
🚨🚨🚨 Update: 12.3.2.1 passed the spouse test. This is a big deal. Every iteration of FSD prior to this one resulted in my wife asking that it immediately be turned off.

More generally, the car had a habit of stopping too early at stop signs and slowly creeping forward. It wasn't that bad, but added unnecessary delay. I'd say that it was generally a little too timid when creeping out at intersections with poor visibility.

Get used to this on intersections with poor visibility. One of the differences now with V12 is the improved creep where FSD slowly moves up and then makes good decisions on when to go. Huge improvement.

For the past few days I kept saying to FSD "go" "go" but there is a reason FSD is delayed in making decisions when visibility is poor. That is because by leaning forward two to two and a half feet I can see when FSD should go 2-4 seconds before the B-pillar camera can see. Sure FSD can speed up the creep but that doesn't solve the root cause. It was really impossible before to understand creeping because the behavior was so inconsistent but now that creeping is predictable and consistent just expect a few second delay on low visibility intersections. People behind you will continue to be a little irritated and there is nothing you can do.

I do love V12 though. Haven't had a critical safety disengagement in over a week. Over 500 miles of driving.
 
On 12.3 what I see is that speed generally goes up to max on 4 lane (two lanes each way) roads but does not on 2 lane (one each way). My set speed is 12% higher (to make it 40 mph on 35 mph roads that I mostly drive on).
I think that's generally right.

We have a 4-lane road (with a suicide lane in the middle) going through the center of town and the speed limit is 35mph. Traffic generally goes 40mph. My X was holding 38mph.
 
Speaking of the 12.3 highway stack..

While I haven't been on the highway with 12.3.2.1, I have been with 12.3. For what it's worth, I've been driving around with the Auto speed set. I understand the complaints from others; but I've been finding that, while it runs a bit slower sometimes on local 2 and 4 lane roads, it often runs faster in certain circumstances. For example, there's a striped 2-lane road whose speed limit is 25 mph; with both 12.3.2.1 the car sort of vaguely wobbles (depending upon what other cars are doing and its own ideas between 20 and 30, with the slower in congested areas and the 30 in places less so. Interestingly, sometimes, after turning a corner at, say, a red light that turned green, in a 25 mph zone the car will zip up north of 30, then gradually come back to 28. Slightly weird - but not unsafe, and not overly speedy.

Which brings us back to the highway stack. So, on 11.4.9 I didn't have any offset dialed in; when getting onto a highway that was, say, 65 mph, it would speed up to 65 mph. If I wanted something a little faster (not at all unusual), well, that's what the right scroll wheel was for, and I'd put it up to 70. Or whatever felt comfortable to me.

With 12.3, with auto set, as the car would enter a 65 mph zone, it'd put the speed limit to 72 mph. Every time. Now, I could adjust it up or down from there, 11.x style, but 72 is where it always went.

I double-checked it: No, I don't have an offset dialed in on the highway stack. Apparently, the initial set point is set by the auto function; once it lets one loose, it runs from there. Further, there's one section of road where the speed limit is 55, then upped to 65 a few hundred yards up. It would stay with 55 - and then zip its setpoint up to 72 as the 65 mph sign was passed.

Now, admittedly, people in the far left lane are kind of going 72. But I suspect that there's some, "Typical speed for this highway" buried in the map data somewhere.
 
How can Hardware 4 be better than Hardware 3 if Hardware 3 unlocks robotaxis? That is peak FSD.

Will Hardware 4 take even more liability? I don’t know what this means.
Not sure what you're asking. Without debating robotaxi chances, it's logical that there would be a minimum capable configuration, yet higher performing configurations to follow.
 
The visualizations are based on V11 right? They didn't get updated?

I noticed the visualization has hallucinations. Like stuff that's NOT there. Like one example is a road I went down had no lines of any kind the road was straight black and the visualization gave it dotted line then a random double yellow at times.