Wire · regulatory
Tesla is in big trouble, as FSD may need to be completely overhauled.
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Fusion42 · 17 July 2026 · Fusion42 review
New Jersey's Bill S1677 mandates dual-sensor redundancy for L3 autonomous vehicles and LiDAR for L4 systems, directly incompatible with Tesla's pure-vision architecture. Simultaneous divergent regulatory regimes in the US and China signal fragmented autonomous driving legislation that will force Tesla to choose between market access and fundamental technical restructuring.
This Wire brief sits within Fusion42's coverage of Autonomous Vehicles.
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If you're building autonomous vehicles on vision-only stacks, New Jersey just closed one major US market and signalled others will follow. You now have to choose: redesign your entire neural network for sensor fusion, or accept geographic fragmentation and build two products.
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1 source · 17 Jul 2026
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