Tesla has made a major change to its Full Self-Driving (FSD) package, making it more accessible and affordable for customers. The company has reduced the monthly subscription price for FSD from $199 to $99, significantly undercutting the full price of $12,000. This move is aimed at attracting more customers to opt for the FSD package and experience the autonomous driving capabilities of Tesla cars.
FSD is an optional set of features that provides Tesla vehicles with various autonomous driving options, such as navigating to a destination partially autonomously and stopping at stop signs and traffic lights. However, despite its name, FSD does not turn a Tesla into a fully autonomous vehicle. Tesla CEO Elon Musk has repeatedly promised that full autonomy is coming soon and that it will greatly increase the value of the car, allowing it to be used as a robotaxi.
The recent reduction in price raises the question of who would still be willing to pay the full $12,000 price for FSD. With the monthly subscription option now available at a much lower cost, it seems unlikely that many customers would choose to pay the full price upfront. This pricing strategy shift indicates that Tesla is focused on onboarding more customers to FSD and expanding its user base.
Musk’s previous claims that the value and price of FSD would continue to rise over time have been contradicted by these recent price reductions. Initially priced at $5,000, FSD saw a significant increase to $15,000 in September 2022 before being reduced to $12,000 in September 2023. The latest reduction suggests that Tesla is prioritizing affordability and accessibility to attract a larger customer base.
Tesla’s decision to offer test rides to new customers showcasing the capabilities of FSD further emphasizes the company’s commitment to promoting the benefits of this package. Additionally, Musk’s recent announcement of a “Tesla Robotaxi” set to be unveiled in August adds to the anticipation surrounding Tesla’s autonomous driving technology.
While the FSD package may not yet deliver full autonomy as promised, Tesla’s continuous efforts to improve and expand its autonomous driving capabilities are evident. By reducing the price of FSD and offering a monthly subscription option, Tesla is making progress towards its goal of making autonomous driving more accessible to a wider range of customers.