FSD price increase disincentive

[Drlev]

While I understand that price increases for FSD are inevitable, the way it increased unannounced for existing owners overnight frankly disincentivizes me from committing to purchasing it right now. If they had announced some features to expect and said the price will be going up from $4000 to $5000 on Day X (e.g. August 1), I would likely have pulled the trigger now.

As it is, this sudden 20% increase has made me decide to wait and see.

 

[Mark_T]

Imagine how many more people will buy it when they do exactly what you suggest and announce a few new features with a release date (...or release them then announce) and give you a special limited time offer to buy at the old price...

... or being more cynical, if they are just about to release a few attractive features why let people buy at the old price when they may feel that the features will be attractive enough to get people to buy even with the price increase...

Personally I'm hoping it is the former, not the latter...

 

[Yggdrasill]

They should drop the price of AP/FSD for existing owners by something like 15% per year. That way the cost of AP/FSD stays somewhat consistent expressed as a percentage of the value of the car.

 

[Ludalicious]

Price increase is fully justifiable IMO. You cant charge 3 years ago pricing. It's just the cost of doing business including inflation.

 

[Mark_T]

They should drop the price of AP/FSD for existing owners by something like 15% per year. That way the cost of AP/FSD stays somewhat consistent expressed as a percentage of the value of the car.

... and what about those who already purchased it?

We all keep our cars for different lengths of time so there is no 'one size fits all' solution here.

Buy it when it makes sense for you or let it ride and roll the dice on price increases, all seems fair to me.

 

[BigD0g]

Price increase is fully justifiable IMO. You cant charge 3 years ago pricing. It's just the cost of doing business including inflation.

I disagree, because they haven't even delivered anything, so unless they are going to refund me a $1000 for being a year and half late on simple EAP features (let's not even talk FSD).

The fact that they are raising the price with still no features in sight, should scare the crap out of anyone who prepaid, most companies don't raise the price of a product before it's even been introduced with no date attached to it. It would be one thing if they said this feature will be released in it's entirety in 6 months and when we do we'll change our pre-purchase price by $10000, this is just short sighted, because why raise a price that can't be delivered to piss your customers off even more if they are foolish enough to purchase it now at the higher price and still not have it delievered.

They should offer "full" refunds to anyone that purchased FSD AND offer the opportunity to buy it back at the original cost paid when it's actually delivered. Because right now it's just a interest free loan to Tesla and it's getting very old now.

 

[timvracer]

FSD is years away... seriously. I know Elon made it sound like it is just around the corner, and well meaning folks sprung for it... but it is a long ways away from reality.

 

[Tozz]

I don't want to gloat or anything, but when the rumors about FSD in v9 have started I immediately purchased FSD...

I have anticipated a price increase from day one. Rumors have been going on for years that the current hardware is inadequate for FSD, and replacing hardware is labor intensive.

most companies don't raise the price of a product before it's even been introduced with no date attached to it

How do you know? There are very little companies that deliver a product that comes with hardware for features that they have announced without a timeframe. I can't think of any other product.

However, expected product pricing can change during development, however, the end-user will never know it has changed because it wasn't up for sale yet.

I can fully understand Tesla increases FSD pricing because it turned out development is harder than initially thought and thus development costs are higher. Or perhaps they do anticipate a hardware upgrade is required for maybe MCU1 cars? Or AP1 cars?

 

[Yggdrasill]

... and what about those who already purchased it?

The value of AP/FSD will depreciate like everything else you opted for.

Maybe it could seem unfair that someone who waited 5 years could buy AP at $2600 while the same SW cost $5000 when delivered with the car, but the person that waited 5 years hasn't had 5 years to appreciate AP. Those years of use have value. If they don't reduce the cost over time, very few people will opt for it.

If I wouldn't pay $8,000 for AP/FSD for my brand new $75,000 car, how likely is it that five years later I would pay $11,000 for AP/FSD for my aging $30,000 car?

 

[Tozz]

They should drop the price of AP/FSD for existing owners by something like 15% per year. That way the cost of AP/FSD stays somewhat consistent expressed as a percentage of the value of the car.

I disagree. If I need a new bumper tomorrow on my 10 year old car, I pay the same price as someone that has the same model, but purchased it 5 years later than I did. Doesn't make a lot of sense to me to adjust the price with the age of the car.

 

[Sonic_78]

The original purchase price of $3,000 in the new vehicular config remains the same. Only the after-delivery price was increase by the looks of it.

Many of us paid 5k for EAP. Then the value in FSD should equal or exceed that of EAP to justify purchase. Time will tell.

 

[Barklikeadog]

FSD is years away... seriously. I know Elon made it sound like it is just around the corner, and well meaning folks sprung for it... but it is a long ways away from reality.

FSD is coming out this fall, Elon said so. He is going to flip the switch.

The best feature is that your car will drop you off at your destination, and then seek out a parking spot. Press a button on your phone and the car will come pick you up.
When you sleep at night, the car will also rideshare for you and make $$$.
2 more months!!!

 

[alcibiades]

Without a contractual promise of hardware upgrades, I simply cannot justify purchasing FSD for my AP2 X.

 

[boonedocks]

I don't think it is a disincentive....With the price of the autopilot buddy on ebay rapidly approaching $4,000 the $1,000 difference for FSD won't stop anybody that refuses to hold the steering wheel from paying $5,000 for FSD...…(that was a joke).


In reality though if FSD approaches 1/2 of what Elon espouses it will do then I think people will drop $5,000 in a heartbeat.

I did pre-purchase FSD on my March '17 S100D and did not for my December '17 X75D as I saw EAP literally doing pathetic and had no comfort that Tesla would pull off FSD before both cars were in the recycle bin. If FSD does become available I guess my only comfort will be IF I choose to get FSD on our X75D I will have effectively paid $4,000 for each car.

 

[ewoodrick]

While I understand that price increases for FSD are inevitable, the way it increased unannounced for existing owners overnight frankly disincentivizes me from committing to purchasing it right now. If they had announced some features to expect and said the price will be going up from $4000 to $5000 on Day X (e.g. August 1), I would likely have pulled the trigger now.

As it is, this sudden 20% increase has made me decide to wait and see.

I totally disagree with you. First, I'm not sure if applies to existing owners, but more importantly, you had an opportunity to lock the price in. You could have made this a non-event. Also, I think that they did exactly as you asked, I believe that you have until July 1st before the new prices go into effect.

 

[dbldwn02]

I agree with boonedocks.

If (BIG IF) they ever release a functioning/safe Level 4 software/hardware upgrade, many will flood service centers with $5k in hand to enable it in their car.

I estimate that this price will go up as more and more features are released for FSD. My guess is, $7-10k if Level 4 ever releases.

 

[donauker]

While I understand that price increases for FSD are inevitable, the way it increased unannounced for existing owners overnight frankly disincentivizes me from committing to purchasing it right now. If they had announced some features to expect and said the price will be going up from $4000 to $5000 on Day X (e.g. August 1), I would likely have pulled the trigger now.

As it is, this sudden 20% increase has made me decide to wait and see.

Not sure where you are seeing $4,000. I can still add it to my 2 Model 3 configs for $3K just like I did for my P100D. Adding it after the fact has gone up to $5,000 so for me the incentive to add it now has gone up!

 

[boonedocks]

I totally disagree with you. First, I'm not sure if applies to existing owners, but more importantly, you had an opportunity to lock the price in. You could have made this a non-event. Also, I think that they did exactly as you asked, I believe that you have until July 1st before the new prices go into effect.

Just for kicks I clicked on "buy" for our X75D and it did not offer me a pre-July 1st discount.

$5,350 Incl. $350 tax

Note: I did hid cancel on the last screen though. LOL

 

[Ludalicious]

FSD is coming out this fall, Elon said so. He is going to flip the switch.

The best feature is that your car will drop you off at your destination, and then seek out a parking spot. Press a button on your phone and the car will come pick you up.
When you sleep at night, the car will also rideshare for you and make $$$.
2 more months!!!

You been drinking too much koolaid... LOL

Just for kicks I clicked on "buy" for our X75D and it did not offer me a pre-July 1st discount.

$5,350 Incl. $350 tax

Note: I did hid cancel on the last screen though. LOL

X2. I also tried this. And no discount. If there was I would be grabbing it. I am going to call my dealer here shortly and ask. Tesla doesn't exactly offer any discounts on price so I hope thats the case but highly doubt it

 

[ewoodrick]

Just for kicks I clicked on "buy" for our X75D and it did not offer me a pre-July 1st discount.

$5,350 Incl. $350 tax

Note: I did hid cancel on the last screen though. LOL

Bummer, you missed your opportunity.
Now you just get to decide to pull the plug now, or as others have suggested wait for "years more" and see what the price is when/if it ever gets released.

It's always been investment risk.