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If the hardware already is there, it would be in operation. It would make no sense to have hardware two years waiting for software.

Software developers are expensive, Tesla employs a limited number, and they are busy with a variety of projects. History is littered with software projects that overran their schedules by years and their budgets by millions of dollars.

That being said, I don't think the hardware is there either, I just disagree with your rationale.
 
Software developers are expensive, Tesla employs a limited number, and they are busy with a variety of projects. History is littered with software projects that overran their schedules by years and their budgets by millions of dollars.

That being said, I don't think the hardware is there either, I just disagree with your rationale.
It would make sense that the hardware is all designed and ready to go, but no sense spending the money to install it if it won't work yet anyway. Could be an optional part anyway, and you can't get people paying for an option if the software isn't ready yet, so you don't put the hardware in either.
 
Let's use parking sensors as a guide... $500 option at time of purchase, but a $6,000 retrofit afterwards.

I imagine that's because the parking sensors are embedded into the bumpers. Aftermarket parking sensor systems look to cost only $300, but require being installed inside the bumper, so probably much more than that. And I've never met anyone who bothered getting this aftermarket. Mobileye is not too much more expensive than that, and installation doesn't require taking apart major pieces of the car. I assume the Tesla solution will require some disassembling to fit seamlessly into the look and feel.

So from this, even if the hardware is "cheap", the installation is likely to be expensive, and based on what we know, very few people will actually get the retrofit.