Elon Musk says Tesla will raise FSD price by 25% in September

Tesla CEO Elon Musk on Sunday announced a 25% price increase for the company’s premium driver-assist system, marketed as Full Self-Driving, or FSD. The price will rise to $15,000 from $12,000 on September 5, Musk said in a tweet.

Today, Tesla charges customers $12,000 up front for FSD, or $199 per month on a subscription basis.

Musk did not immediately mention an increase in the cost of FSD subscriptions, and Tesla did not respond to a request for further information.

All new Tesla vehicles come with a standard driver assistance package called Automatic pilot, which includes features such as “Traffic-Aware Cruise Control” and “Autosteer”. These rely on cameras, other sensors, hardware and software to automatically keep a Tesla vehicle centered in its lane and moving at the speed of surrounding traffic.

Tesla’s most expensive driver assistance option, FSD, includes what the company calls “Traffic and Stop Sign Control” and “Navigate on Autopilot” among its features.

These more advanced features are intended to allow Tesla cars to automatically detect and slow down traffic signs and signals; navigate from the on-ramp to the off-ramp while using the turn signals; Change lanes and take the exits.

Tesla is telling drivers to stay alert and be prepared to take charge of steering and braking their car at all times when using Autopilot or FSD. Its technology does not make Tesla vehicles self-driving.

A Tesla feature called Smart Summon allows drivers to use a smartphone and a Tesla mobile app as a remote control to summon their car from across a parking lot and drive slowly, with no one behind the wheel, to the where they are.

While some FSD features are also included in a cheaper option called Enhanced Autopilot, or EAP, only Tesla customers who purchase or subscribe to the premium option can request access to FSD Beta, an experimental version of Tesla’s system. .

FSD Beta users are expected to obtain a high “security score” from Tesla to gain and maintain access to the system.

Tesla’s approach has drawn criticism and regulatory scrutiny from the National Highway Traffic Safety Administration and the California Department of Motor Vehicles.

Still, the company is going ahead and releasing a limited version of the latest FSD Beta, for a relatively small group of users, Musk also tweeted on Sunday.

Earlier, he wrote on Twitter, “There are many major code changes, so this will be a very cautious rollout. Released 8/20 to ~1000 Tesla owners, then 10.69. 1 next week to accommodate feedback and release to ~10,000 customers, then 10.69.2 week after & release for remainder of FSD Beta.”

Owners who access FSD Beta can send feedback to the company through their car when the system crashes or acts erratically. Tesla previously said that 100,000 pilots had already installed FSD Beta.

Tesla plans to make FSD Beta even more common.

At Tesla’s 2022 Annual Meeting of Shareholders on Aug. 4, Musk said FSD Beta will be available to anyone who requests it by the end of this year. Here is a quote from the transcript of the Thomson Financial meeting:

“We are still expecting a widespread rollout of FSD Beta this year in North America, so I have to say that FSD will be available to anyone who requests it by the end of this year.”

Among those receiving the limited release update this weekend, social media has a large following influencers who sell Tesla products and post ad-supported videos on YouTube channels where they review the latest Tesla releases and more.

Since 2016, NHTSA has opened 38 investigations into collisions involving a Tesla vehicle where driver assistance systems, including Autopilot and more advanced systems, were thought to be a factor. Nineteen deaths have been reported in those crashes involving the Teslas under investigation.

Separately, the California DMV recently accused Tesla of deceptive marketing practices regarding the functionality of its vehicles, and it is conducting a technical review of Tesla’s systems, including FSD Beta.

Ashok Elluswamy, director of Tesla’s Autopilot software, said on Twitter This weekend that “Autopilot prevents ~40 crashes/day where human drivers mistakenly press 100% throttle instead of brakes.” Tesla generally does not make data on its systems available to third-party researchers for confirmation of its claims.

Lance B. Holton