Tesla Cuts Full-Self Driving Subscription From $199 Per Month To $99

Tesla is hoping to increase customer demand for its Full-Self Driving (FSD) driver-assistance feature by slashing the monthly subscription cost in half, dropping it to $199 per month. The outright purchase price of $12,000 has not been changed.

While the car manufacturer has dropped the term ‘beta’ from its marketing of FSD, it very much remains a work in progress and is far from perfect. However, Tesla chief executive Elon Musk appears to be confident enough in the FSD system that he wants as many Tesla customers in the U.S. to experience it in person.

Watch: Tesla’s AI-Powered FSD v12 Reviews Reveal Highs And Lows

Last month, Musk instructed all Tesla stores in the U.S. to install and activate FSD V12.3.1 for a free one-month trial and take customers on a short test ride before handing over the car. In addition, Tesla technicians returning vehicles from services to their owners will also need to demonstrate how the system works.

Slashing the subscription cost for FSD will help make the feature much more popular among Tesla customers who won’t spend the extra $12,000 to buy it. Customers can also subscribe to the system knowing they can cancel it at any time. That means someone could subscribe to the system for one month, test it out, and if they’re not satisfied with it, cancel and perhaps re-subscribe in the future after further improvements have been made. That sounds more appealing than paying $12,000 and perhaps having to wait years for the system to be fully developed.

Tesla isn’t just looking for new ways to sell FSD to customers. Earlier this month, Musk said the carmaker is willing to license the system to other automakers but it doesn’t appear as though any car companies have taken him up on the offer.