Tesla is set to raise the price of its Full Self-Driving subscription, indicating that it will eventually surpass the current $99 per month fee. Elon Musk, the CEO of Tesla, recently announced that the cost of the Full Self-Driving subscription will increase as the capabilities of the system improve. He mentioned that the ultimate value of this feature will be realized when drivers can be completely hands-off during the ride.
The decision to raise the subscription price was anticipated, especially since Tesla has been teasing a feature-complete version of Full Self-Driving that would eliminate the need for driver supervision. However, with the impending price hike, concerns have been raised about some customers potentially being unable to afford the service.
At $99 per month, Full Self-Driving is already a significant expense for many drivers. While the capabilities of the system are undeniably valuable, not everyone is prepared to add an additional 50 percent to their monthly car payment for this feature. It is speculated that the price of the subscription could increase to at least $150 in the near future.
Moreover, Tesla will be discontinuing the option to purchase the Full Self-Driving suite outright starting on February 14. This change has left some owners worried about their ability to continue paying for Full Self-Driving in any capacity. Some customers have suggested a tiered pricing program, which would allow them to select and pay for specific capabilities at a discounted rate.
The most expensive tier would likely be the Unsupervised Full Self-Driving suite, which would enable drivers to be completely hands-free during the ride. Despite the removal of Autopilot from certain vehicles, a Supervised Full Self-Driving suite could still attract customers willing to pay between $49 and $99 per month for its usefulness.
Tesla is expected to announce pricing for the Unsupervised suite once it becomes available, but further price increases could also be implemented for the Supervised version as the technology improves. Elon Musk has previously hinted at changing the price of Full Self-Driving based on advancements in its capabilities. In 2020, he even suggested that the value of Full Self-Driving could exceed $100,000 once it reaches full self-driving capability with regulatory approval.
Overall, the price increase for Tesla’s Full Self-Driving subscription reflects the company’s commitment to enhancing its autonomous driving technology. Customers will need to weigh the benefits of this feature against the increased cost to determine if it is a worthwhile investment for them.