Well.....SURPRISE! I heard none of the above. I was told it was free. Nothing more. Please...tell me more of what I might have heard.
I was told it was free too. By a Tesla employee in the showroom/gallery/store. He implied that it was free forever, but after I poked a little bit, he admitted he didn't know for how long, but only that it wasn't a focus for them right now, and that no plans have been announced to start charging.
So, brianman, count yourself very surprised at least one additional time.
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Do we know the app won't work without a paid connectivity plan? They could be using the low-speed diagnostic channel that is always there.
It's doubtful that there will be a low-speed "diagnostic channel". You're either connected, or you're not. What services you're permitted to use over that connection is what they can control.
I see it working this way (I've been in the wireless industry for 17 years, so consider this an extremely educated guess from a professional):
- Tesla have a vested interest in keeping the car connected. As many have mentioned, there are too many features tied to the car to cripple it with no data connectivity.
- They have established a relationship in North America with AT&T for connectivity, and, from what I can glean, have slapped in a non-user swappable AT&T SIM card. Again, from what I have gleaned (I don't have my car yet), even cars in Canada have AT&T service; they just roam while they're up here (I'm in Canada). All. The. Time. Not sure what's happening with the European cars, but it's possible that they also have AT&T SIM cards/service as well. This is INCREDIBLY expensive for Tesla. They won't keep this up for long, which means it will change shortly.
- Due to the location of the SIM card, it's doubtful you'll be able to pop in a T-Mobile SIM card, or your own AT&T SIM card and have it just "work" (even though we would all love that). Why?
- I expect Tesla to have a basic level of connectivity that they pay AT&T for (the so called "diagnostic" channel). It won't be low speed (that doesn't make any sense to anyone), it will just be limited to Tesla diagnostic functions and software updates (maybe... I could see these being delivered exclusively upon a service appointment in the future, or, by encouraging the use of WiFi as they have already hinted at). This diagnostic level of service will most certainly be free.
- There will probably be another level of service on top of this, or maybe multiples, each costing more money. For example, a "Google Maps" plan, and/or a "Entertainment" plan (Slacker, TuneIn, etc...), a Web Surfing plan, and Remote Control/App plan. They may lump these into one "Connectivity" plan for $30 a month or whatever. It's trivial to restrict usage of certain services depending on what you're paying for.
- I expect Tesla to be the service provider, or MVNO, as this case may be. Hence, they won't let you tack it on to your existing AT&T service plan for an extra $10 a month or whatever. Why? Two reasons. 1) Revenue: they'll make a small taste off of each subscription if it's priced appropriately, and 2) Administration & maintenance: troubleshooting connectivity issues and user experience problems while not controlling the data bearer/connectivity is a nightmare. Will you potentially be able to hack it and use your own SIM card? Yeah, probably. But depending on their level of paranoia and control, it could be difficult, or it may be straightforward.
As someone else said, the arrival of WiFi means price plans are coming soon!
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I would hope that they would throw in a free upgrade to LTE service when they begin charging for data. Especially if it ends up being $30 per month it seems that would be a reasonable expectation.
Based on a post I saw somewhere else, the chipset currently in the Model S doesn't support LTE. It maxes out at 14.4 Mbps HSPA+, which, the wireless companies in the US decided to market as 4G a couple of years ago (once LTE from Verizon started showing up).
Unless they've changed the chipset since that post (I hope they have - I want LTE when my car arrives), current cars won't be LTE capable, thus, a "free upgrade" to LTE won't be possible.
...and if for some reason they start to allow you to throw in your own SIM card (I doubt this), you're stuck choosing between AT&T and T-Mobile in the US (or perhaps smaller regional GSM players). No Verizon, and no Sprint.