Tesla unveils $199-a-month Full Self-Driving subscription plan -- but there's a catch

Dow Jones2021-07-19

MW Tesla unveils $199-a-month Full Self-Driving subscription plan -- but there's a catch

By Mike Murphy

Owners of pre-2019 Teslas may have to pay $1,500 for hardware update, leading to grumbles

Tesla Inc. has unveiled a $199-a-month subscription plan for its Full Self-Driving package, rather than a $10,000 up-front fee, but it could come with an added cost for some drivers.

Electrek first reported , there are two options, depending on the vehicle's current Autopilot capability: Basic Autopilot to FSD for $199 a month, or Enhanced Autopilot to FSD for $99 a month. Subscriptions can be canceled at any time.

Tesla $(TSLA)$ notes that FSD is not the same as fully driverless technology, and that "the currently enabled features require active driver supervision and do not make the vehicle autonomous."

But the subscription plan requires version 3.0 of the FSD hardware, and upgrading to that will cost $1,500. That hardware -- containing a new, more powerful chip -- has been standard in Teslas since mid-2019.

However, Electrek reported Saturday that Tesla owners who bought their vehicles between late 2016 and mid-2019 were told at the time they had FSD hardware built in and would not need an additional hardware update.

A number of Tesla owners on Twitter expressed irritation or outright anger over that possibility, with some saying Tesla should pay for the upgrade cost while others called for a class-action lawsuit.

Tesla's support page says hardware upgrades are not included with the FSD subscription.

Tesla, which dissolved its media relations team last year, did not immediately respond to a request for details about the FSD 3.0 upgrade cost.

Tesla shares dipped 2% last week, and are down nearly 9% year to date. They're still up 115% over the past 12 months, though.

-Mike Murphy; 415-439-6400; AskNewswires@dowjones.com

 

$(END)$ Dow Jones Newswires

July 18, 2021 20:12 ET (00:12 GMT)

Copyright (c) 2021 Dow Jones & Company, Inc.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

Leave a comment
3