Tesla’s Pivot: A Fundamental Shift in Monetizing Self-Driving Technology

Tesla is embarking on a profound transformation of its core software business strategy. In a move aimed at securing more predictable revenue streams, CEO Elon Musk has announced the company will cease selling its “Full Self-Driving” (FSD) package as a one-time upgrade. Starting February 14, 2026, the advanced driver-assistance system will be available exclusively through a subscription priced at $99 per month. This strategic overhaul comes at a time when the electric vehicle maker is navigating a decline in vehicle deliveries and heightened regulatory scrutiny.

The discontinuation of the one-time FSD purchase option, which had cost buyers up to $8,000, marks a significant departure from Tesla’s previous monetization approach. Read more...