Tesla is an EV car company operating across the major EV markets in the world. It is the brainchild of Elon and he’s been pushing the limits of safety and innovation in Tesla cars. Loaded with features, Tesla’s models come with active self-driving functionality that can be used by paying a fee. But the fee has dropped recently and the news is a bit of a shocker. 

Elon claimed that he’d increase the price of full self-driving functionality by a lot. But it seems to have dropped significantly. What’s the reason behind this move?

Let’s go ahead and learn more about the price drop in this blog. 

Why does Tesla charge extra for self-driving features?

Tesla charges extra for its self-driving feature because of the advanced technology and development costs involved. The Full Self-Driving (FSD) capability is a complex system that uses sensors, cameras, radar, and AI to enable autonomous driving. The FSD package includes Autopilot, Navigate on Autopilot, Auto Lane Change, Autopark, Summon, Traffic Light and Stop Sign Control, and a Full Self-Driving Computer. 

These features require ongoing research, development, and testing to ensure safety and reliability, which adds to the overall cost. Tesla has always believed that the cost of the FSD package accurately represents its worth, as it provides users with innovative technology that improves the ease, safety, and effectiveness of driving. They also highlight that the FSD package is regularly enhanced through software updates sent wirelessly. This is done to introduce new features and enhancements gradually. 

Despite the additional expense, Tesla’s autonomous driving features are in high demand among buyers, as there are already a lot of Tesla vehicles with the FSD package in use. This shows the value and desire for advanced self-driving capabilities among Tesla customers.

Tesla Slashes Prices Of Full Self-Driving Feature: To Cost $8000 Now

Elon has just brought a smile to the faces of Tesla owners who were not able to purchase the FSD package due to budget issues.

Tesla has just lowered the price of its full Self-Driving (FSD) feature from $12,000 to $8,000. This price drop comes before Elon Musk’s earnings announcement on April 23rd. Previously, Musk had indicated that the value of FSD could go over $100,000, but its price reached a high of $15,000 in 2022 before dropping to $12,000. The monthly subscription for FSD has decreased from $199 to $99, which means it would take almost seven years of subscription to equal the one-time payment option.

The reduction in price shows Tesla’s commitment to making the Full Self-Driving (FSD) more affordable for customers. These plans align with Elon Musk’s belief that the software will become more valuable in the future. But there are doubts revolving around the actual capabilities of FSD. The move is being heavily marketed, as Tesla will eventually allow for completely autonomous driving even though it currently functions as a Level 2 driver-assist system. 

As Tesla adapts to changes in autonomous driving technology, the price changes show the company’s efforts to meet customer demand and lessen the gap between paid customers.

Future Plans Of Tesla In 2024: Beyond Self-Driving

Tesla is set to make some big moves in 2024, mainly in the field of autonomous vehicles. Elon Musk is setting a goal of incorporating self-driving technology into Tesla’s main business strategy. This will take a big step forward when the company reveals its much-anticipated robotaxi vehicle on August 8th. 

This shows Tesla’s dedication to improving self-driving capabilities and changing the way we think about transportation.

Elon Musk is set to prioritize the advancement of robotaxis. He is planning to make a robotaxi rather than create a more reasonably priced $25,000 “Model 2.”. This step highlights Tesla’s move towards autonomous mobility solutions. By concentrating on robotaxis, Tesla is hoping to transform city transportation and seize the growing market for autonomous ride-sharing services.

To Summarise

Tesla is already doing great in manufacturing EVs that are actually smart and can do things differently than other cars. The FSD, or full self-driving feature, received a massive price cut of $4000 that is applicable to all models. People can now purchase the functionality for $8000, which was $12000 previously.

Elon Musk wants to bring more people into the FSD ecosystem. He also plans to launch a robotaxi by the end of this year. The robotaxi will be priced around $25,000, as per rumours. 

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