Tesla to roll out hands-free steering on its Model S in three months

Tesla Motors plans to offer hands-free steering on its Model S saloon in about three months, chief executive Elon Musk said Thursday.

The automatic steering feature, which will be available only when driving on the motorway, will be part of a continuing series of free software upgrades delivered wirelessly to Model S owners, Musk said.

Tesla is among several automakers, including BMW and Mercedes-Benz, offering over-the-air updates. Tesla has been more aggressive than most others in pushing such software updates, which Musk said would continue to be released every three or four months.

The electric car maker also announced the release of a new Range Assurance feature that will warn Model S drivers before they run out of battery power. The feature will be bundled with a trip planner that will help owners map “optimal” travel routes, Musk said.

Among new features to be delivered later this year, in what Musk said would be Version 7.0 of the car’s operating software, is one that will enable owners to summon their car remotely from the garage.

The Version 7.0 software also will be installed in the new Model X crossover that goes into production this summer.

Investors may have been hoping for bigger changes to the user-interface system after Musk had said on Twitter that the upgrade would "end range anxiety." "The stock ran up going into the announcement, and you typically see people sell on the news," said Ben Kallo, an analyst with Robert W Baird, who has a buy rating and projects

Tesla shares reaching $275 within the next 12 months. “There were some people with outlandish thoughts about what to expect. It’s not a breakthrough announcement. But this shows that Tesla can continue to update their cars, which speaks to the argument of residual value.”