The only ways to increase capacity is by stacking roads vertically or stacking cars "nut-to-butt" horizontally. California, being earthquake country, sees nut-to-butt as the more workable solution.
From a software/hardware point of view this is all quite manageable. I expect that it will be abused every bit as often as the internet is and by much the same parties. Everything has its price, want to play?
Since 1 in 8 are here illegally, kicking illegals out would free up a lot of road space so there wouldn't need to be new roads.