Whether "[intercepting] headings and [changing] elevation" is meaningful improvement when the real issue is situational awareness of the automated system (which is obviously the problem with Tesla's system, or any currently existing vehicle automation, really) seems dubious to me. The ability to change altitude instead of just keeping the flight level will not help the automated system avoid an airplane that comes out of nowhere because it's not an environment sensing feature -- it's just a feedback control feature. I strongly suspect that what is controversial about automated car driving systems is not their inability to follow a fixed pre-determined trajectory.