Tesla CEO Elon Musk announced via Twitter that the company is raising the price of its premium driver assistance package, marketed as fully autonomous driving or FSD, from $10,000 to $12,000 on Jan. 17, for US customers only.
In a series of tweets on Twitter, where he has 69.2 million followers, Musk wrote: FSD price rises to $12,000 on January 17 in the US. FSD price goes up The closer we get to releasing the code for FSD production.
Asked by a follower about Tesla’s FSD subscription product (which currently costs $199 a month for most customers), Musk said, “The price of a monthly subscription goes up when FSD is rolled out widely.”
He’s also excited about a new version of the FSD beta program, an invitation-only program that offers more advanced features for selecting drivers who meet the company’s qualifications.
Tesla does not disclose in its earnings reports how many of its customers pay for FSD up front or sign up for FSD each quarter.
As a result, it is not clear to what extent higher prices in the US could boost profit margins in the future.
The company’s standard driver assistance package is marketed as an automated guide. It comes standard with all of its new vehicles (Model S, Model X, Model Y and Model 3).
The autopilot function includes, but is not limited to, automatic emergency braking and forward collision warning. In addition to lane keeping, adaptive cruise control, which matches your vehicle’s speed to surrounding traffic.
Tesla’s fully autonomous driving option, also known as FSD, is a premium package that includes Autopilot functionality. It also includes more advanced features such as automatic lane change, traffic sign recognition, and smart recall.
Despite the name, the option does not allow cars today to drive themselves automatically without driver intervention. Separately, there is also the FSD beta program, which includes more advanced features. Musk said in a tweet that a new version 10.9 of the FSD beta program is about to expire.