From selling cars to selling services: Tesla FSD completely shifts to subscription model, $99 per month becomes the only option

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Tesla is abandoning its one-time sales model for its advanced driver assistance system, switching instead to a pure subscription model.

On the 14th, Musk announced on the X platform that Tesla will stop selling its "Full Self-Driving" (FSD) system and will fully transition to a monthly subscription service after February 14. The subscription is currently priced at $99 per month.

This change will eliminate the hefty upfront fee for FSD—priced at around $8,000 in the U.S. market. Although the name suggests "Full Self-Driving," this technology still requires continuous human supervision and frequent intervention.

This move comes as Tesla faces sluggish sales. The company lost its position as the world’s largest electric vehicle manufacturer last year, prompting Tesla to focus more on technology-driven businesses such as FSD, robotaxis, and robotics.

Subscription Model Lowers the Barrier to Purchase

Musk did not specify the reason for this decision when announcing it. The new policy allows potential users to try the system for $99 a month instead of paying the nearly $8,000 one-time fee. Based on this calculation, users would need to subscribe continuously for about 6.7 years for the cost to equal that of the original one-time purchase.

Tesla is experiencing a period of weak sales. In 2025, the company lost its position as the world’s largest electric vehicle manufacturer. Against this backdrop, Tesla is placing greater emphasis on technology-driven projects such as FSD, robotaxi, and robotics, hoping to create new revenue growth through technological services.

Though Tesla calls the system "Full Self-Driving," the technology currently still requires driver monitoring and frequent intervention. This means the system still serves as a driver assistance feature, rather than truly autonomous driving technology.

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