SAN FRANCISCO, April 22 (Xinhua) -- U.S. electric car manufacturer Tesla on Monday unveiled a new full self-driving (FSD) chip for its next-generation autonomous vehicles.

Tesla CEO Elon Musk told investors during the company's Autonomy Day that FSD-powered computers will turn its electric cars into self-driving vehicles without human intervention.

He said all new models of Tesla cars including Model 3, X and S have been equipped with the chips featuring full self-driving capabilities, but the next-generation chip, which is currently under development, would be "three times better" than the existing system.

Musk said Tesla will probably have more than 1 million cars with full driving capabilities running on the road by 2020.

"Probably two years from now, we'll make a car with no steering wheels or pedals," he said. He predicted the new powerful FSD chip will come out in two years.

Musk touted his company's FSD technology while mocking the LIDAR technology by calling it a "fool's errand."

LIDAR refers to the light detection and ranging radar technology that is commonly used in many self-driving cars from Tesla's rivals, such as Uber, Waymo and Cruise.

"Anyone relying on LIDAR is doomed. ... (They are) expensive sensors that are unnecessary," he said during a presentation Monday.

The existing Tesla cars like Model S, X and 3 do not use the LIDAR technology. Instead, they use eight cameras and other navigation technology such as radar, GPS, maps and ultrasonic sensors to enable autonomous driving.