In a move that has left many in the automotive industry and consumers alike scratching their heads, Tesla has officially removed Basic Autopilot as a standard feature for new Model 3 and Model Y orders in North America. This change forces buyers to subscribe to the $99/month Full Self-Driving (Supervised) package to access lane-keeping capabilities that were previously free.
The decision comes just weeks after Tesla announced it will stop selling FSD as a one-time purchase, pivoting entirely to a subscription-only model. By removing the free tier of Autopilot, Tesla creates a 'gap' in functionality that nudges users toward the $99/month FSD subscription.
This move has raised concerns among consumers and industry experts, who argue that it prioritizes volume over consumer value. The change also puts Tesla in an awkward position, offering less standard safety tech than economy cars costing half as much.
With most buyers of the Model 3 and Model Y aiming for monthly payments in the $500-$600 range, adding a mandatory $100 monthly fee just to get features that are standard on a Honda Civic destroys the value proposition. The decision appears to be a desperate move amid Tesla's significant demand and profit headwinds in 2026.
The company's sales have been in a steady decline for two years, and it recently lost access to significant subsidies in the US that were greatly contributing to its profits. As a result, this shift on Autopilot pricing seems like a cash grab triggered by Tesla's financial struggles.
This move is a classic case of prioritizing short-term gains over long-term customer satisfaction and loyalty. By removing the free tier of Autopilot, Tesla is essentially forcing buyers to pay for features that were previously included in the base price of their vehicles. This will likely lead to customer dissatisfaction and potentially harm the brand's reputation.
