A major component of Tesla's business model that's been working for them is getting their consumers to pay for Tesla car software upgrades. To clarify something vital, the hardware for these upgrades is all in the car already, so there doesn't have to be any physical changes since it's already in the car.
This isn't to say that Tesla's customers are paying for the latest version of the greatest innovation from Tesla cars, its Autopilot system is an expensive in-app purchase. However, there has been a price drop until the end of June, so it's that much cheaper now.
What's Going On With Tesla's Autopilot?
The price of the Basic Autopilot going down by $1,000, which makes the original cost of $3,000 become a price of $2,000, is a significant price drop. Basic Autopilot isn't the full suite of self-driving systems that people pay $7,000 for. But for the new temporary price of $2,000 will provide your Tesla with the bare essentials that early Tesla cars didn't start with initially.
Enabling basic Tesla Autopilot via Tesla in-app purchase is reduced to $2k until July 1 — Elon Musk (@elonmusk) June 22, 2020
Tesla's Autopilot system is a combination of driver assistance systems like lane-centering assistance and radar cruise control, but that isn't all there is to it. The Autopilot system uses a GPS, radar, exterior cameras, and ultrasonic sensors to help it navigate through roads.
If you compared Tesla's Autopilot to other hands-on driver-assistance features in other cars like the Toyota or Ford, then Tesla's Autopilot features are among the top ones.
To gain access to the best of the Autopilot system's features, which include navigating while on autopilot, automatically changing lanes, and parking automatically, then you'll need to pay $7,000 after checking the Full Self-Driving box in the Tesla app. This seems like a lot of money, but next month the price will have another $1,000 added on top of the initial price.
Tesla's CEO Elon Musk has stated that the Autopilot software will be available through a subscription model before next year. You should take note that Teslas can already do all these things, all you need to do is pay to unlock the features.
Simple Summary Of The New Price Changes
If you're confused about all the different prices mentioned above, here's a quick recap.
If you want to get the Full Self-Driving Autopilot, which has every feature included, for your Tesla, you can save $2,000 if you're buying both the Basic and Full Self-Driving suites of features. The opportunity to save that much money lasts until the end of June 30th.
If you're only looking to get the Basic Autopilot for your Tesla, then you'll save $1,000 if you buy it before the month ends. Consider the pros and cons of having both or only having the Basic Autopilot thoroughly. Then if you think you need all the features and you can spare the money, go ahead and purchase the Full Self-Driving Autopilot system for your Tesla.