Tesla will only offer subscriptions for Full Self-Driving (Supervised) going forward

Tesla will only offer subscriptions for Full Self-Driving (Supervised) going forward

TechCrunch business

Key Points:

  • Tesla will discontinue the option to purchase its Full Self-Driving (FSD) software with a one-time fee starting February 14, shifting exclusively to a monthly subscription model.
  • The subscription price was reduced from $199 to $99 per month in 2024, and the change aims to increase adoption, as only 12% of Tesla customers have paid for FSD to date.
  • This move could help CEO Elon Musk meet a key goal of securing 10 million active FSD subscriptions, a condition tied to his $1 trillion compensation package.
  • Transitioning to subscription-only sales may also serve as a legal strategy amid ongoing lawsuits and regulatory actions accusing Tesla of deceptive marketing related to FSD’s promised autonomous capabilities.