"As its sales continue to slip and its robotaxi strategy seems to falter, Tesla CEO Elon Musk said today that the company would stop selling its Full Self-Driving feature as a standalone package. Instead, starting on February 14th, the Level 2 driver assist system would be offered as a monthly subscription only. The news marks a massive shift in how Tesla markets FSD, a software system that Musk has long claimed would lead to fully autonomous vehicles and thus would be an "appreciating asset.""
"Musk didn't offer any rational for the move, which comes about two weeks before Tesla is expected to announce its fourth quarter and full-year 2025 earnings. The company's Q4 delivery report revealed a year over year sales drop of 15.6 percent. Growing FSD' subscription base was a key condition of Musk's recently approved pay package: he will need to add 10 million active subscribers in order to receive compensation that could be worth $1 trillion."
Elon Musk announced Tesla will stop selling Full Self-Driving (FSD) as a standalone purchase and will offer the Level 2 driver-assist system only via a monthly subscription beginning February 14. FSD previously sold for up to $15,000 as a one-time option, later falling to $12,000 then $8,000 or $99 per month. Musk provided no rationale for the switch, which precedes the company's fourth-quarter and full-year earnings report after a 15.6 percent year-over-year Q4 delivery decline. Growing FSD subscriptions is central to Musk's pay package, which requires adding 10 million active subscribers to unlock compensation potentially worth $1 trillion. Robotaxi deployment remains limited.
Read at The Verge
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