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Tesla Raising Price of FSD to $15,000, AI Director States "We Can Build a Car That Never Crashes"

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After FSD Beta 10.69 successfully rolled out to Tesla owners last night, Elon Musk tweeted that once it is released to all FSD Beta participants, the price of the FSD package will be raised from $12,000 to $15,000 on September 5th. The current price will be honored for any orders placed before September 5th.


Another price increase seems like a reassurance that FSD will come to fruition soon. Tesla's Autopilot Software director Ashok Elluswamy shares additional information regarding the progress Tesla has made in FSD Beta 10.69: a huge change introduced in this update are "Occupancy Networks," which Elluswamy states are "our approach to solve general obstacle detection and using it to enable sophisticated collision avoidance." He claims that these occupancy networks are so important in solving self-driving that "when we execute on this plan we can build a car that literally never crashes."



Tesla enthusiast @WholeMarsBlog on Twitter shares their first 35-minute drive with FSD Beta 10.69, highlighting the significant changes Tesla has made in this update.


FSD Beta tester Chuck Cook @Chazman (who also snuck into the v10.69 release notes) also shared a video testing how FSD Beta 10.69 handles turns. "It wasn't very smooth, but it was adjusting its course so it can continue without a full stop," referring to the unprotected left turn his car had just executed.


Screen Shot 2022-08-21 at 11.50.25 AM.png

Credit: Chuck Cook on YouTube

We're hoping all the changes that need to be fixed by 10.69.2 will provide more reasoning for Tesla's sudden price increase in FSD Beta 10.69. We can only hope this means Tesla is seriously getting closer to solving the self-driving problem, and we will certainly see how the changes allowing video and map data to simultaneously help FSD Beta learn to drive will affect not only how it drives now, but in the near future.
 
I agree, it’s almost worthless right now, but I would say it is worth some small percentage of what they charge. If 10.69 really is a noticeable improvement, the actual value could increase from $2k to $3k (for example…just making up numbers).
I agree but only if you get FSD if you paid for it. I paid for FSD 4-years ago for two Teslas and have Safety score of 98-100 here in CA but I still have not received FSD Beta. I only paid $3K for each FSD but the value to me remains $0 since I have never received anything for my money. I have a 2023 MX on order with FSD for $12K. If the MX is delivered to me and I still do not get FSD, it will remain a $0 value.
 
Just more grifting. They're running out of suckers who will buy it at $12k. People seem to have forgotten that if you beta test something for a company, they should be paying you.
Honestly, I think they are doubleing down.. there has been so much talk in the media, press at the state and federal level about possibly curtailing or throttling FSD roll out and Tesla is adamant that it is better, safer and nearly ready for prime time.. so I think RAISING the price is doubling the market perception of the bet.. Elon probably needs more money to buy twitter since the consortium is apparently weakening.

Although, they might also just be raising the apparent purchase price right at the time they might allow current owners WITH an FSD equipped vehicle to get a half price reduction to carry it over to a new purchase. (not sure if that REMOVES it from the current vehicle or not, or if it essentially allows the owners FSD to be enabled on any car that owner/driver applies it to - now THAT would be a good option.
 
If this timeline is accurate, the price increase will come into effect the next business day after 10.69.2 is released to the current pool of Beta testers.

This is a masterclass in marketing and inciting FOMO
Unfortunately people are going to jump in to save some money on FSD only to end up wasting money on FSD . It’s going to be years before we have a credible product.
 
I sense a debate about the meaning of the phrase "when we execute on this plan we can build a car that literally never crashes". Was this a promise, an aspiration, a truly meaningful statement, simply marketing blather?

Also, what is meant by "crashes". The typical person would say never crashes means never crashes - like into anything, ever. Did he in fact mean doesn't crash into a certain set of objects under certain conditions. Maybe he meant it never crashes like no more black screens where the computer goes down.

It's a wonderful throwaway line that is oh so amazing. It's almost typically Elon really, Ashok Elluswamy fits right in. Say something so wonderful, but realistically unachievable, ultimately meaningless, and subject to endless goalpost moving.
 
Tesla just seems to be WAY ahead of the actual market value of their system.

They want to price it with the idea that your car could go out and work for you as a robot Uber Driver when you're not otherwise using it.

But the functionality is NO WHERE near there. It's a system that can drive the car mostly ok, with a driver sitting there ready to take over at every single second. That's at best, a nice cognitive-load reducer for long trips.... but you can't send your car to go pick someone up, you can't even turn around and play scrabble with other occupants.

I love the dream, but $15k for the hope that they eventually get up to level 4 is kinda cart-before-horse to me.
 
I sense a debate about the meaning of the phrase "when we execute on this plan we can build a car that literally never crashes". Was this a promise, an aspiration, a truly meaningful statement, simply marketing blather?

Also, what is meant by "crashes". The typical person would say never crashes means never crashes - like into anything, ever. Did he in fact mean doesn't crash into a certain set of objects under certain conditions. Maybe he meant it never crashes like no more black screens where the computer goes down.

It's a wonderful throwaway line that is oh so amazing. It's almost typically Elon really, Ashok Elluswamy fits right in. Say something so wonderful, but realistically unachievable, ultimately meaningless, and subject to endless goalpost moving.
Obviously the statement should be taken as a long term goal. Anyone working on AVs should be working toward that same goal. It's an implementation of Asimov's first law of robotics.
 
Tesla just seems to be WAY ahead of the actual market value of their system.

They want to price it with the idea that your car could go out and work for you as a robot Uber Driver when you're not otherwise using it.

But the functionality is NO WHERE near there. It's a system that can drive the car mostly ok, with a driver sitting there ready to take over at every single second. That's at best, a nice cognitive-load reducer for long trips.... but you can't send your car to go pick someone up, you can't even turn around and play scrabble with other occupants.

I love the dream, but $15k for the hope that they eventually get up to level 4 is kinda cart-before-horse to me.
I predict the price will jump to $20K when FSD beta rolls out to all FSD licensees.
 
Obviously the statement should be taken as a long term goal. Anyone working on AVs should be working toward that same goal. It's an implementation of Asimov's first law of robotics.

No AI can stop surrounding drivers from doing stupid, unavoidable things. Tesla is once again over-selling an otherwise slowly-improving technology.
 
No AI can stop surrounding drivers from doing stupid, unavoidable things. Tesla is once again over-selling an otherwise slowly-improving technology.
Many drivers go a lifetime avoiding those unavoidable things. Nonethless, it would be naive to interpret the comment as an absolute. Obviously, the car can only do what the laws of physics permit. If a UFO pops out of hyperspace 10 ft in front of a speeding Tesla, the owner will be contacting Universal Insurance.
 
LOL. From Tesla..... We offered "FSD" some 6 years ago for $5,000. Promised within a year we would send a car from L.A. to New York on its own. We still haven't delivered on that promise, nor the promise to actually enable all vehicles that have paid for the FSD feature, yet, the price over time for us to "flip the switch" is increasing now to $15,000, roughly 30% of the cost of an entire Model 3. All for a software upgrade since we build all cars with the hardware already in it. But yes, we still promise to deliver it. Right now, we still can't build cars fast enough to fulfill orders. We realize that the significant price increases do likely price out many buyers from owning a Tesla, but fortunately, you guys don't matter because we still have plenty of rich suckers willing to pay us for products we haven't delivered yet. For all those that paid us $250,000 up front for the Roadster we promised years ago, we promise that's coming too. Same for the Semi-Trucks. Cybertruck......uhm, let me check on that one......Oh yeah, that funky looking thing that somehow over 1,000,000 people were willing to send us money for, despite knowing our history at taking forever to deliver on promises. With FSD, we're not concerned with keeping it at a price point so more people can afford it and thus get it on the road via more cars so we can continue to learn from having it in vehicles. We'd rather squeak every dollar out those willing to give us money for nothing. We realize the economy is changing, interest rates have climbed, thus reducing further, the affordability of our cars due to higher loan costs. We're also not going to let you buy the Model S or X at lease-end anymore. Why should we, when we can charge you the same, then get the car back after you've paid for most of it? Need service for your vehicle, sure no problem we have a spot open in two months.

I wouldn't have as much of a problem with the price increase if it was something they were actually delivering. I had the same complaint when it went from $10,000 to $12,000. Said they need to focus on actually getting it to work properly and to ALL customers who have paid for it. Instead, they just keep taking advantage of short term gains, sacrificing in the long term. They struggled mightily in 2019 to sell cars. Then COVID hit and changed the world. Now, despite people having less money today than they did two years ago on average, companies like this choose to gouge, because they can.

In this aspect, this is where I have some respect for GM. They could have easily charged $80,000+ for the new Corvette, but chose to have it be reachable for more of their customers. Could have easily charged more than $60,000 for the Lyriq, but same thing, chose customer care over short term gains. That will benefit them in the long run. I feel for those that will be impacted by this. Happily, I'm not one of them.
 
LOL. From Tesla..... We offered "FSD" some 6 years ago for $5,000. Promised within a year we would send a car from L.A. to New York on its own. We still haven't delivered on that promise, nor the promise to actually enable all vehicles that have paid for the FSD feature, yet, the price over time for us to "flip the switch" is increasing now to $15,000, roughly 30% of the cost of an entire Model 3. All for a software upgrade since we build all cars with the hardware already in it. But yes, we still promise to deliver it. Right now, we still can't build cars fast enough to fulfill orders. We realize that the significant price increases do likely price out many buyers from owning a Tesla, but fortunately, you guys don't matter because we still have plenty of rich suckers willing to pay us for products we haven't delivered yet. For all those that paid us $250,000 up front for the Roadster we promised years ago, we promise that's coming too. Same for the Semi-Trucks. Cybertruck......uhm, let me check on that one......Oh yeah, that funky looking thing that somehow over 1,000,000 people were willing to send us money for, despite knowing our history at taking forever to deliver on promises. With FSD, we're not concerned with keeping it at a price point so more people can afford it and thus get it on the road via more cars so we can continue to learn from having it in vehicles. We'd rather squeak every dollar out those willing to give us money for nothing. We realize the economy is changing, interest rates have climbed, thus reducing further, the affordability of our cars due to higher loan costs. We're also not going to let you buy the Model S or X at lease-end anymore. Why should we, when we can charge you the same, then get the car back after you've paid for most of it? Need service for your vehicle, sure no problem we have a spot open in two months.

I wouldn't have as much of a problem with the price increase if it was something they were actually delivering. I had the same complaint when it went from $10,000 to $12,000. Said they need to focus on actually getting it to work properly and to ALL customers who have paid for it. Instead, they just keep taking advantage of short term gains, sacrificing in the long term. They struggled mightily in 2019 to sell cars. Then COVID hit and changed the world. Now, despite people having less money today than they did two years ago on average, companies like this choose to gouge, because they can.

In this aspect, this is where I have some respect for GM. They could have easily charged $80,000+ for the new Corvette, but chose to have it be reachable for more of their customers. Could have easily charged more than $60,000 for the Lyriq, but same thing, chose customer care over short term gains. That will benefit them in the long run. I feel for those that will be impacted by this. Happily, I'm not one of them.
Yeah but the Chevy will make your garage very warm at some point. Allegedly..
 
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Reactions: Ramphex
Many drivers go a lifetime avoiding those unavoidable things. Nonethless, it would be naive to interpret the comment as an absolute. Obviously, the car can only do what the laws of physics permit. If a UFO pops out of hyperspace 10 ft in front of a speeding Tesla, the owner will be contacting Universal Insurance.

It doesn't take anything exotic or extra-terrestrial to have another driver trigger a crash.

My last car was destroyed by a teenage girl driving daddy's pickup - she ran a red light at full speed and t-boned me from the side. I actually saw her for the last 0.3 seconds as she failed to slow and came into the intersection thru which I was already making a very ordinary crossing. I attempted in that fraction of a second to continue forward to clear her - which was impossible. The most paranoid AI would not have done much better.

My best friend was rear ended at a stop sign, with a car in front of him. No where to go.

It is not hard to find rather ordinary and unavoidable crashes.

The really fun ones will involve the AI having to decide between running over the mother with a baby stroller who dashes in front of the car, or wipe out the grandma in the Toyota in the adjacent lane as the only two available choices :)
 
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