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How does "AutoPilot" saves work with "Hold Steering Wheel"

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I'm a long-time AP1 Tesla owner, but after seeing certain videos like this one:

Watch Tesla Autopilot Prevent Side Crash On Highway: Video

I'm confused how the user interface works for this. In my case, with me holding the steering wheel, I think I would resist the aggressive lane change that we see here, possibly causing the accident to happen after all.

How does a driver on Autopilot know when to fight the AP and when to allow it to make its own decisions?
 
In my AP 2.5 Model 3 I was recently approaching stopped traffic at a red light. As I approached the intersection I observed that the turn lane to the right of the stopped traffic was empty and. since I was turning right, I intended to scoot over to the turn lane as soon as I got there, instead of stopping behind the rightmost straight lane. As a result, I was approaching the stopped traffic much faster than I would have been had I intended to stop. Just before I began turning the wheel, the car threw a series of beeps and something flashed on the screen (red hands on a wheel?) and the car moved over to the turn lane for me and displayed a message about emergency steering having been engaged to avoid an accident. It was all over very quickly and the messages stayed on the screen too briefly for me to capture or even remember them, but the car definitely gave a lot of feedback in conjunction with the emergency maneuver.
 
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I'm a long-time AP1 Tesla owner, but after seeing certain videos like this one:

Watch Tesla Autopilot Prevent Side Crash On Highway: Video

I'm confused how the user interface works for this. In my case, with me holding the steering wheel, I think I would resist the aggressive lane change that we see here, possibly causing the accident to happen after all.

How does a driver on Autopilot know when to fight the AP and when to allow it to make its own decisions?

The driver doesn’t know, but the driver’s reaction time is much slower than the car, so the car reacts first, and faster, and by the time the driver had a chance to try to “correct” the car is already out of harm’s way.

You have to make a conscious decision to apply a force to counteract the AP action and this requires time. But by the time you’ve reacted (150-250ms) you may also have processed further information like the danger the car detected before you did, and decide that fighting the AP action is not what you want to do.

It’s also possible the force required to “fight” an evasive maneuver by AP is dialed up a few notches relative to normal, but I don’t think that would actually be necessary.
 
...the driver’s reaction time is much slower than the car, so the car reacts first, and faster, and by the time the driver had a chance to try to “correct” the car is already out of harm’s way.
I hear you, but I disagree. I have a repeatable spot on my normal route where NOA decides it wants to take an exit ramp for no reason, without indicating prior intent. I have my hand on the wheel as usual. As soon as AP attempts to turn away from my intended straight path, because I'm holding the wheel firmly, the torque sensor trips autosteer offline immediately. To the outside observer, the car barely twitched. This is one of the reasons I hold the wheel firmly enough to avoid the nag. Every once in a while, a minor crisis is averted with no drama whatsoever.

You have to make a conscious decision to apply a force to counteract the AP action and this requires time. But by the time you’ve reacted (150-250ms) you may also have processed further information like the danger the car detected before you did, and decide that fighting the AP action is not what you want to do.
On the rare occasion I do get a nag, it's usually because I'm unconsciously applying the exact same inputs as AP is commanding, resulting in no driver torque being applied to the steering wheel. So I agree, sometimes driver and AP are really on the same page.

It’s also possible the force required to “fight” an evasive maneuver by AP is dialed up a few notches relative to normal, but I don’t think that would actually be necessary.
It seems that some aspects of AP performance are linked to AP's confidence in sensor data. For example, at night, in the rain, with obscured lane lines, the nag interval is much shorter than in dry daylight conditions. It seems reasonable that if confidence in a potential collision was sufficiently high, AP may increase the rejection threshold for contrary driver inputs.
 
I hear you, but I disagree. I have a repeatable spot on my normal route where NOA decides it wants to take an exit ramp for no reason, without indicating prior intent. I have my hand on the wheel as usual. As soon as AP attempts to turn away from my intended straight path, because I'm holding the wheel firmly, the torque sensor trips autosteer offline immediately. To the outside observer, the car barely twitched. This is one of the reasons I hold the wheel firmly enough to avoid the nag. Every once in a while, a minor crisis is averted with no drama whatsoever.

Are you constantly holding the wheel so firmly, or in anticipation of the known repeatable spot do you kick it up a notch yourself to avoid the predicted AP swerve?

How intense is the swerve? If it is a gradual merge type lane change maneuver that’s easy to react to before much motion has occurred, you still need reaction time ... you can’t beat 150ms unless you are maybe a rare individual or Olympic athlete :) ... if it’s a slow rate of swerve then it hasn’t moved much in 250ms so you can avoid it ... an emergency maneuver may be more abrupt and have changed lanes completely in 200ms.