Probably the most important feature of the new navigation software is the use of online routing (when connected to the internet). This should eliminate the problem NAV 1.0 has had with using onboard map data that is 2+ years old in some areas. The online routing should be using up-to-date maps.
Plus, Tesla should be able to push out updates to the routing server more quickly than it takes them to distribute software updates to all cars - so we could see improvements to the routing quality relatively quickly.
Now, if I can only get the update sent to my car...
But they were doing some online routing in the past, correct? I mean, at least they were adding traffic info.
Because they need to work offline - I would be terrible if someone jumps on their car somewhere without signal and they can’t get directions - I think they might be using a hibrid of in your car + online enhancements when possible. Similar to Gmaps when you download a section of the map.
For what I read the improvement is that they now use crow sourced maps and a backend that they have full control off so maps are more accurate and they can improve much faster.