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TEXXR

Chronicles

The story behind the story

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Tesla drops the price of its Full Self-Driving software subscription, which the company now calls FSD (Supervised), from $199 per month to $99 per month

Tesla slashes Full Self-Driving monthly subscription to $99”  —  #tesla #cars #ev  —  https://electrek.co/... X: @tesla : You can now subscribe to FSD (Supervised) for $99/month in the US https://ownership.tesla.com/ ... Upgrades > Software Upgrades > Subscribe @wholemarsblog : Wall street doesn't put any value on FSD The stock just sometimes coincidentally goes up at the same time major FSD news drops Sheel Mohnot / @pitdesi : Yesterday there was a popular poll asking what $ people would subscribe at and $99 was the winner Elon liked the poll and today the price is $99! No idea if they are linked but it certainly wouldn't be the wildest thing he's done. Sucks for people who prepaid $12k for FSD Anthony Smith / @anthonyisonline : @elonmusk Great move. & for those in Europe who paid ~$10,000 in 2019 & still don't have the product? Refunds, at least, if it's still a long way off🙏 These people supported Tesla financially in the tough times Jeremy Judkins / @jeremyjudkins_ : So this was a lie. [image] Brandon / @brandonee916 : $99 a month for FSD! So that means the price should be reduced to $6,000 and refunds issued to all of us who paid full price? Or do we now get lifetime transfers to any Tesla? Anthony Spina / @speenuh : @brandonee916 @arctechinc Did people who paid $15,000 get refunded when it dropped to $12,000? That's not how price cuts work lol. Lifetime transfers for people who currently own FSD would be entirely reasonable though, imo. Elon Musk / @elonmusk : Supervised full self-driving now $99/month Joe Gebbia / @jgebbia : The future, now for less than $100 a month Boy / @nergock : @brandonee916 @MontanaSeptic Remember when Elon told us the price of FSD would go up when it became more capable? Another broken promise.

TechCrunch Rebecca Bellan

Context & Ripple Effects

Tesla had already reversed an earlier FSD price increase with a cut from $15,000 to $12,000, while retaining the $199 monthly option. This move makes the recurring plan the sharper lever for lowering the perceived cost of trying the software.

The price change matters because FSD is being positioned as software rather than solely a one-time vehicle add-on. Tesla had also said it was in discussions to license FSD technology to an automaker, making subscription uptake relevant to how the product may be commercialized beyond Tesla vehicles.

First-order effects

  • US Tesla owners can access FSD (Supervised) for $99 per month rather than $199, cutting the immediate cost of subscribing in half.
  • Tesla lowers recurring revenue per continuing subscriber at the old rate, but reduces the barrier to attracting trial users and price-sensitive owners.

Second-order effects

  • The lower monthly price puts pressure on Tesla to demonstrate that broader adoption can offset lower revenue per subscriber; it also changes the comparison with paying upfront for FSD.
  • A larger subscriber base could give Tesla more real-world usage of the supervised product, while making the distinction between a driver-assistance subscription and a fully autonomous service more commercially important.

Third-order effects

  • The move is a data point in the auto industry's shift toward monetizing vehicle capabilities through recurring software plans, where pricing is continually tested against customer willingness to pay.
  • If lower prices become the durable model, the value of FSD will be judged less by its listed upfront price and more by retention, adoption, and the product's ability to support broader deployment or licensing.

The trend: Tesla is testing whether lower-priced recurring access can turn advanced driver-assistance software into a scalable automotive subscription business.

Discussion

  • @lorakolodny Lora Kolodny on threads
    If you are a Tesla owner who bought or is paying a higher monthly rate for FSD than the $99 subscription price now offered - let me know if you think the company owes you money back, or some other gesture, or if you're just accepting it for what it is.  Email to lora.kolodny@nbcu…
  • @dankim312 Dan Kim on threads
    wow elon and tesla are in full pre-earnings pump mode.  the panic is palpable ⛽️🔥
  • @e.w.niedermeyer E.w. Niedermeyer on threads
    The craziest thing about building a bespoke robotaxi is that a no-controls design would require a waiver for Federal Motor Vehicle Safety Standards but making Tesla's existing cars self-driving wouldn't. …
  • @lorakolodny Lora Kolodny on threads
    Tesla slashed the price of its premium driver assistance package in the US by half.  This is marketed as FSD or Full Self-Driving in the US but doesn't make Tesla cars self-driving and now a monthly subscription costs $99. https://www.cnbc.com/... CEO Elon Musk previously said FS…
  • @nemeseri Nemeseri Andras on threads
    I just had my first waymo ride (after many cruise rides) and it's astonishing how far Tesla is behind.  Even the traffic visualization is in a different ball park.
  • @gwestr Greg Wester on threads
    Elon's loyalists are fawning over the new price of fake autonomy
  • @hoon_kim Hoon Kim on threads
    $99 Tesla FSD subscription?  Or $22.99 Netflix Premium + $19.95 Apple Bundle (Music, TV+, etc) + $11.58 Amazon Prime $13.99 YouTube Premium =====================  $68.51 total per month Basically, FSD isn't worth it. $tsla
  • @gwestr Greg Wester on threads
    Today Elon Musk declared complete and total bankruptcy on legacy FSD autopilot.  A fraud 5 years in the making since robotaxi investor relations day in 2019 has come to an end.  Elon stole $8 billion from depositors and like SBF used it on unauthorized projects and hobbies. …
  • @sofainatl So Fain on threads
    Jeremy, my man, have you never heard of being “musked?”
  • @esg.hound Eric Roesch on threads
    lol at the dupes who paid $15k for FSD years ago (now priced equivalent to 150 months or 12.5 years up front) Elon Musk keeps directly shitting on his biggest fans and they can't get enough of it
  • @shortingisfun @shortingisfun on threads
    $TSLA Stans are so angry about this FSD price drop.  I love the Muskings, its going to be a great weekend.
  • @moskov Dustin Moskovitz on threads
    Ok team, let's talk about “pricing power” today.  The value of your product does not exist in a vacuum but rather in relation to alternative substitutes.  At this point, many manufacturers have systems comparable to Tesla “FSD” (esp if you focus on the part that works relatively …
  • @tesla @tesla on x
    You can now subscribe to FSD (Supervised) for $99/month in the US https://ownership.tesla.com/ ... Upgrades > Software Upgrades > Subscribe
  • @wholemarsblog @wholemarsblog on x
    Wall street doesn't put any value on FSD The stock just sometimes coincidentally goes up at the same time major FSD news drops
  • @pitdesi Sheel Mohnot on x
    Yesterday there was a popular poll asking what $ people would subscribe at and $99 was the winner Elon liked the poll and today the price is $99! No idea if they are linked but it certainly wouldn't be the wildest thing he's done. Sucks for people who prepaid $12k for FSD
  • @anthonyisonline Anthony Smith on x
    @elonmusk Great move. & for those in Europe who paid ~$10,000 in 2019 & still don't have the product? Refunds, at least, if it's still a long way off🙏 These people supported Tesla financially in the tough times
  • @jeremyjudkins_ Jeremy Judkins on x
    So this was a lie. [image]
  • @brandonee916 Brandon on x
    $99 a month for FSD! So that means the price should be reduced to $6,000 and refunds issued to all of us who paid full price? Or do we now get lifetime transfers to any Tesla?
  • @speenuh Anthony Spina on x
    @brandonee916 @arctechinc Did people who paid $15,000 get refunded when it dropped to $12,000? That's not how price cuts work lol. Lifetime transfers for people who currently own FSD would be entirely reasonable though, imo.
  • @elonmusk Elon Musk on x
    Supervised full self-driving now $99/month
  • @jgebbia Joe Gebbia on x
    The future, now for less than $100 a month
  • @nergock Boy on x
    @brandonee916 @MontanaSeptic Remember when Elon told us the price of FSD would go up when it became more capable? Another broken promise.