With a cursory glance at Tesla's hardware the rest of the self driving car industry quickly surmised that it was at the time nowhere near sufficient to to deliver L4 autonomy, and that's before sensor modalities entered the equation. Karpathy was either BSing for money, or he actually believed the hype. Either way it was a bad look.
Truth is what they did was impressive, but given their constraints, but the constraints were self-imposed and unnecessary. So it's more impressive in the way that it is impressive when someone that was shot crawled their way to the hospital. Still impressive even if they shot themselves, but it sure does make you feel a little different...