Elon Musk said back in December 2020 that a FSD subscription would be made available next year. He has recently said that it’s coming this month and that it won’t be tied to the wider release of the FSD v9 beta which is expected in May or June. You can probably guess why these two features have similar timelines as Tesla expects FSD v9 to help sell the FSD subscriptions. The new FSD v9 release is also expected to have brand new vector-space visualizations.
We’re now in May and the FSD subscription should be falling upon us any day now. In our initial reporting of the FSD subscription, we talked about why it was smart for Tesla to also offer a FSD subscription in addition to a one-time purchase package. You can read more about those reasons here, but they mostly have to do with the hefty price tag of $10,000, which is a tough pill to swallow for most and also that there are some instances where buying the FSD package outright doesn't make sense, for example if you’re leasing your car.
Here’s what to expect in Tesla’s announcement
The average new car length ownership in the US is 8.4 years. The FSD package currently costs $10,000 USD. So if you take the cost of the package and divide it by the length of car ownership, you get a price of $99/month.
Now, there are probably a few reasons why Tesla wouldn’t want to create a $99/month FSD option, even though it’s a very attractive price.
First, if Tesla were to release a $99/month option, they’d be sure to annoy a whole lot of loyal supporters who spent $10,000 up front when they bought their cars and only had a fraction of the FSD features available.
Secondly, Tesla would much rather you buy the FSD package up front instead of paying for it monthly. By doing that, not only do they have $10k to invest into resources right away, but they also essentially got you to commit to pay for FSD every month for 8-plus years.
So what is a good price? $149 seems plausible. For drivers who have leased their cars for three-years then it’d be a total cost of about $5,300 over the course of the three-years instead of their only other alternative right now, which is the full $10,000 package. This may tip the boat in Tesla’s favor for many.
You can certainly bet that Tesla is closely analyzing the percentage of buyers who currently buy the FSD package today and how many of those buyers they would lose if they were to offer a monthly subscription. The answer to that question lies in whether they would make more through FSD subscriptions than what they’d lose in upfront payments.
If we look at the possibility of a $199/month subscription then we’re looking at someone paying $7,200 over three-years, which seems just way too close to the full price of $10,000 to make sense. That’d be paying over $20k over that 8 year period.
Now, if Tesla were a traditional company, I would feel pretty comfortable with expecting a $149/month FSD subscription becoming available this month. But if there’s one thing that Tesla has taught us over the years, is that there is always a price early adopters pay.
The price of Tesla’s cars has dropped dramatically in some cases. Some folks paid more for an AWD Model 3 then what the Performance model ended up costing later on. Elon Musk has often commented on this; saying that technology gets cheaper and early adopters are often helping pave the road for the future.
Whether Tesla releases a $99/month or $199/month FSD subscription completely depends on how many buyers are buying the FSD package today. I have a feeling it’s rather low or Tesla wouldn’t be considering a monthly subscription in the first place.
As a reader has pointed out, it's possible that Tesla may require a minimum commitment in order to subscribe to FSD at $99/month. This could be used to prevent owners from only subscribing during roadtrips. It could also help offset the costs of any hardware needed to allow FSD, such as upgrading the car's Autopilot hardware from 2.5 to 3.0. Elon Musk has already said that the FSD subscription would cover any hardware needed. A minimum commitment could be one or two-years.
A FSD subscription has the advantage that it is not tied to a particular vehicle, you could subscribe to it in one vehicle, then switch it to another a year or two later. That may be the biggest issue early adopters will have who paid full price for FSD at $7,000 or $10,000. Tesla may allow a one-time transfer of the FSD license for these owners as this has become a popular topic that has yet to be addressed by Elon. It's also possible that Tesla may limit FSD subscriptions to personal use and they would not be able to be used for robotaxis in the future.
We expect Tesla to announce a FSD subscription as low as $99, or as high as $149, in the US very soon.
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Tesla offers owners an easy-to-use battery health tool, which allows users to view the degradation of their vehicle’s battery and improve the range estimate.
Battery Health
Like all batteries, electric vehicle batteries naturally degrade over time as a result of the chemical reactions that occur during charging and discharging cycles. Other factors also play a role, but the number of charge cycles and how long the battery stays at low or high states of charge play one of the biggest roles.
Your battery’s health refers to how much of its original energy capacity remains. For example, a battery at 85% health has lost about 15% of its capacity, meaning your vehicle will deliver roughly 85% of the range it had when new.
Battery Degradation
Battery degradation is worst in the first few months of ownership, and you will see the steepest degradation (1-3%) as your vehicle settles in. Part of this initial decline is due to the Battery Management System (BMS), which recalibrates to provide a more conservative and accurate estimate of your vehicle’s range and charging capacity.
According to Tesla, vehicle batteries generally degrade at a rate of about 15% per 200,000 miles, with the first year of ownership accounting for approximately 5% of this degradation. Battery degradation is less of an issue in modern EVs than many people think, because the BMS systems have become much more accurate and intelligent.
Tesla offers a long warranty on its vehicles, covering both the battery and the drive units. These warranties cover up to 70% pack retention, meaning that if your battery health degrades below the 70% mark while under warranty, Tesla will replace your battery pack.
Tesla provides a drive train and battery warranty on its vehicles, which is longer than the standard vehicle warranty. This warranty guarantees the battery will have at least 70% of its original capacity within the given time period. If your battery health drops below that threshold during the coverage period, Tesla will replace the battery pack.
The warranty varies slightly based on your Tesla model and configuration, which is outlined below:
Vehicle
Warranty
Model S, Model X, Cybertruck
8 Years / 150,000 mi (240,000km)
Model 3 / Model Y RWD
8 Years / 100,000 mi (160,000km)
All Other Model 3 / Model Y
8 Years / 120,000 mi (192,000km)
How to Test Battery Health
Not a Tesla App
While you can usually get a fairly accurate estimate of your Tesla’s battery health by calculating the amount of miles the vehicle could travel when charged to 100% and comparing that to the vehicle’s original range, Tesla has also added a tool to give you a better estimate.
Tesla has a user-friendly method of testing your vehicle’s battery health. The tool is practically identical to the one available through Service Mode, and the test and results are the same.
In order to test your vehicle’s battery health, you can navigate to Controls > Service, and then scroll down and select Battery Health. Upon tapping the button, the vehicle will display requirements for the battery test and the date and health of your last battery test.
Battery Health Test Requirements / How Long It Takes
Your vehicle will need to plugged in to a Wall Connector or Mobile Connector for up to 18 hours to run the battery test. The charger will need to be able to provide at least 5 kW of power, which is roughly about 20 amps at 240v.
The total amount of time the test will take will vary based on your vehicle’s battery size, your charging speed and the current battery level. If you’re unable to finish a battery health test and need the vehicle before it has completed, you can stop the test at any time.
Your vehicle will also need to be at a 20% or less state of charge, so you’ll need to plan accordingly.
The other requirements should be straight forwar and are listed here:
Vehicle is in Park
Battery level is at 20% or less
Vehicle is connected to the Internet
No software updates are scheduled
No battery or thermal alerts are active
Vehicle is connected to an AC charging station
AC charging equipment can provide at least 5 kW of power
Running the Battery Test
During the battery test, your vehicle will discharge and charge your battery to calibrate the BMS. Therefore, the lower the state of charge, the quicker the test will run and less energy will be wasted.
Your vehicle will run the motors and heat pump or heater to help discharge energy until the batteries are nearly empty, and then begin charging.
During the test, you may hear your vehicle’s fan run at maximum speed and become very loud, especially in an enclosed garage while the vehicle is discharging. This is normal and your vehicle is just using up energy.
Battery Test Results
Not a Tesla App
Once the battery test has completed, you’ll receive a notification in the Tesla app. You can check the results in the vehicle or in the Tesla app by navigiating to Service > Battery Health.
Most vehicles will have a degradation range between 10-20%, depending on your charging habits, age and use of your battery.
If you receive a result that’s 70% or less and are within the warranty period, you should reach out to Tesla for a replacement.
Since your battery test will recalibrate the vehicle’s BMS, you may see your vehicle’s range adjusted after the test. Keep in mind that the range of your vehicle hasn’t been affected and the vehicle is simply displaying a more accurate estimate of its range.
Note: Once the battery test completes, the vehicle will keep your battery at 100%, which isn’t a good practice for battery health. It’d be a good improvement if Tesla used up energy to bring the battery level back to the charge limit if the vehicle isn’t used after an hour or two.
You should not leave your vehicle at 100% unless you have a LFP battery. Plan to go for a drive shortly after the battery test completes. If you can’t drive, we recommend running the climate system to use up some energy.
Test Limitations
Since Tesla’s battery test uses up energy and discharges your battery to near 0% and then charges it to 100%, it’s best not to perform it often. Tesla also only allows one battery test every six months, unless you go into Service Mode to perform the battery test.
Tesla offers users some specific tools under its service menu (Controls > Service). These tools include features such as Car Wash Mode and Tow Mode. Just like other vehicle features, these are also updated and improved over time.
As Tesla vehicles use electric motors, towing them with any wheels on the ground could cause the motors to backfeed energy, generating considerable amounts of heat. If done for an extended period of time, especially at higher speeds, it could cause damage since the vehicle isn’t running its coolant loop to dump waste heat.
To help solve this problem, Tesla provides Tow Mode, which breaks down the steps needed to tow a Tesla. It also provides an easy way to put the vehicle in neutral and disengage the parking brake.
The improvement to Tow Mode now displays a checklist similar to Car Wash Mode. Each item in the list will light up green or red, depending on whether it’s already in the correct setting for Tow Mode.
Tesla has also added a readout of the low-voltage battery. While this could be useful for anyone wanting to check the current on their LV battery, it’s an important detail to be aware of if you’re towing because the vehicle’s high-voltage battery has been run down. All of the vehicle’s electronics are powered by the LV battery, and depleting it could cause the display to not turn on, as well as prevent access to certain vehicle features.
The vehicle shown in the diagram is also unique to the vehicle you are driving - a Model 3 will display a Model 3, while the Cybertruck will display a Cybertruck - just a subtle touch of Tesla precision to the entire presentation.
You can activate or check out Tow Mode from Controls > Service > Tow Mode.
Tire Service Improvements
Tesla has also improved its Tire Service menu, which is now tied into Maintenance History. These menus allow you to switch the wheels and tires your vehicle is using. It’s important to note that the wheel is not only used in the vehicle’s visualization, but also has impacts on the vehicle’s ability to accurately predict its range.
In the Tire menu, Tesla has added a Service Type dropdown, allowing you to select why you’re switching your tires. You can choose whether you’re rotating your tires, replacing them, or swapping them out for seasonal tires. This change will then be recorded in Maintenance History, allowing you to track the maintenance of your tires, including the date of the last maintenance and the ability to see the mileage on your current set of tires.
You can navigate to the Wheel and Tire menu by going to Controls > Service > Wheel & Tire.
The updated Wheel and Tire menu
Not a Tesla App
Cybertruck
As a note, the Tire Service improvements are not fully implemented in the Cybertruck in the primary menu. If you wish to mark a Seasonal Tire Change in your Cybertruck, you’ll need to head into Service Mode and add a Correction Code for Seasonal Tire Change from there.
We expect Tesla to fix or add this in an upcoming update for the Cybertruck.
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