Well, as a former Pilot (a real pilot, not a facebook pilot), we were always taught to believe instruments over vision. I went with that, and I'm still around thanks to that training. "Vision has much more precision" is false (excepting nearby Stealth objects in good weather). So, I'm going to have to not agree with Elon on that one. In a sudden snow squall or a fog bank, I'd go with radar.
Suspect Tesla might save $60 per vehicle in hardware with their new software solution. That being said, vehicle will still be "safe", as, unlike an aircraft using non-visual instruments, one should never outdrive their clear visual range.