Tesla slashes Full Self-Driving (FSD) subscription price to $99 monthly in the US.

Tesla has reduced the cost of its Full Self-Driving (FSD) software subscription to $99 per month, down from $199 per month, in a move aimed at increasing the adoption of its advanced driver assistance system. This price adjustment follows the recent launch of a free one-month trial of FSD for all eligible Tesla customers in the U.S., which is still ongoing. The software, formerly known as FSD Beta, is now referred to as “Supervised FSD” to emphasize that Tesla vehicles do not become fully autonomous, and human drivers must remain vigilant while using the system.

Supervised full self-driving now $99/month https://t.co/UoZ0MvirxW

— Elon Musk (@elonmusk) April 12, 2024

FSD is capable of executing various advanced driving tasks, such as performing lane changes, navigating around obstacles and vehicles, adhering to the driver’s navigation route, and more.

The reduction in FSD pricing coincides with Tesla’s release of further enhancements to the latest V12 version of the software for select users. Tesla indicates that these upgrades enhance FSD’s city-street driving capability by enabling it to operate solely on neural networks.

The increase in FSD users not only translates to higher revenue for Tesla but also results in a larger volume of video data. Additionally, Tesla may be positioning itself to fulfill CEO Elon Musk’s recent commitment to unveil a Tesla robotaxi in August.

“Revolutionizing Autonomy: Tesla’s FSD Now Just $99/Month in the US!”

Musk has encouraged drivers to enhance the value of their vehicles by investing in the software. In 2022, he emphasized that Tesla’s worth hinges on its ability to develop self-driving technology. Despite Tesla’s stock being valued akin to a tech giant, its profit margins serve as a reminder that it remains primarily an automaker.

However, making FSD more accessible may lead to users who aren’t diligent in supervising the software, potentially rendering them unable to intervene in case of an issue.

Tesla appears to have maintained the one-time purchase price of FSD at $12,000 in the U.S., although this price has fluctuated over the years. In 2022, Tesla raised the FSD cost to $15,000 in North America before reverting to the current price a year later.

The recent price reduction, which democratizes access to the software, contradicts Musk’s statement on X (formerly Twitter) four years ago. He previously suggested that as FSD approaches full self-driving capability, its value would soar, possibly exceeding $100,000.

Tesla Full Self-Driving option cost rises by ~$1000 worldwide on July 1st. Order a Tesla online in less than 2 minutes at https://t.co/qJm9uPBCX5

— Elon Musk (@elonmusk) May 18, 2020