Tesla to shift Full Self-Driving to subscription-only model

Tesla will remove the option to buy its Full Self-Driving (Supervised) package outright from April 1, moving the advanced driver-assist technology to a subscription-only model.

The company says vehicles with FSD (Supervised) purchased outright must be ordered and delivered by March 31 to qualify.

Existing Hardware 4 (HW4) vehicle owners can also purchase FSD (Supervised) via the Tesla app as a post-purchase upgrade until March 31, 2026.

The current upfront cost for FSD (Supervised) is $11,400. After that date, customers will need to subscribe at $159 per month, with pricing unchanged under the new model.

Tesla describes the system as: “Under your supervision, your car will be able to drive itself almost anywhere with minimal driver intervention.”

However, the company makes clear the system is not autonomous. “Currently enabled features require active driver supervision by a fully attentive driver who must maintain proper control of the vehicle at all times and do not make the vehicle autonomous.”

Full Self-Driving (Supervised), or FSD-S, is Tesla’s most advanced driver-assistance system available in New Zealand. It can steer, brake and navigate city streets, intersections and highways, provided the driver remains attentive and ready to intervene.

At present, HW4 vehicles — including the latest Model 3 Highland and Model Y — support FSD-S. Tesla has indicated that Hardware 3 (HW3) vehicles may gain access in the future, although timing has not been confirmed.

The system relies on Tesla’s camera-based Vision platform, using eight exterior cameras and a cabin camera for driver monitoring. Data is processed by an onboard neural-network computer, which interprets lanes, vehicles and surrounding objects to control steering, throttle and braking.

Drivers can provide input via the indicators or accelerator without fully disengaging the system, allowing for a more cooperative driving experience. If driver attention warnings are ignored, the system will disengage.

Tesla continues to refine FSD-S using anonymised data collected from its global fleet.

The shift to subscription-only access aligns Tesla with a broader industry trend toward software-based revenue models, where advanced vehicle features are delivered as ongoing services rather than one-off purchases.