Tesla Looking to Introduce Full Self-Driving Subscription Soon
【Summary】The new subscription plan would give interested Tesla buyers more flexibility to see if they want to purchase the package outright.
It's no secret that Tesla's electric vehicles are crazy expensive. With the various changes, the Model 3 now costs $40,190 (including destination), while the most expensive Model S Plaid+ carries a price tag of $151,190. Tesla's electric vehicles may be the leaders when it comes to range, but the automaker certainly charges a large amount to get performance, range, and technology. Pricing goes up rapidly with one simple package: Full Self-Driving Capability. It costs $10,000 and, somewhat misleadingly, brings a few nifty semi-autonomous features. In the near future, consumers won't have to pay a hefty fee to be able to experience the available package.
Subscription Service Coming
In Tesla's most recent earnings call, CFO Zachary Kirkhorn claimed that the automaker was working on a subscription plan for its Full Self-Driving Capability package. We heard about the possibility of a subscription plan last year when the brand claimed that it was aiming for Q2 of 2021 as the release date for the service. Apparently, it sounds like Tesla's right on schedule.
In the earnings call, Kirkhorn confirmed that the subscription service was on the way. The automaker is currently waiting on fixing a few internal technical issues before unveiling the plan. Kirkhorn believes the subscription service would bring extra revenue for the automaker, but it would also be beneficial for consumers.
"If you look at the size of our fleet and you look at the number of customers who did not purchase FSD upfront or on a lease and maybe want to experiment with FSD, this is a great option for them," Kirkhorn explained.
More Info Coming Soon
The issue with Tesla's Full Self-Driving Capability package is that it costs $10,000. That's an expensive package on vehicles that are already well above the average price of a new vehicle. We're not saying the system isn't worth the money. With things like auto lane change, Summon, Autopark, Navigate on Autopilot, traffic light and stop sign control, as well as a full self-driving computer, it certainly brings a lot of features. Additionally, Tesla's continually updating the system to add more features. So, for more well-off shoppers, the package is appealing.
The upcoming subscription service will give Tesla owners the ability to try the system out before deciding to purchase it outright. Like Kirkhorn points out, this is a good way for consumers to experiment with the system before deciding on whether they should purchase it.
Obviously, we still have a lot of questions. How much will the subscription service cost? Is there a set period consumers are obligated to use the service? Will pricing of the subscription service go up when new features are added? Since Tesla doesn't have a PR department anymore, these questions will go unanswered until we get the official lowdown on the subscription service
Vineeth Joel Patel
Joel Patel has been covering all aspects of the automotive industry for four years as an editor and freelance writer for various websites. When it comes to cars, he enjoys covering the merger between technology and cars. In his spare time, Joel likes to watch baseball, work on his car, and try new foods
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