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Why July 1st for the free internet connectivity cutoff?

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Wrong.

The $1000 is refundable, and therefore a liability.

Once you pay the $2, 500, all 3500 becomes non-refundable.

Read your fine print
If that's true, then likely this is the move Elon intended to burn the shorts. Combined with free LTE until 7/1. And show profit in Q2 when nobody expects it.

I don't feel this is super smart though, could have made more money charging for LTE.
 
We just ordered and the manager told us the original offer was internet for 4 years. Well, now things are coming up to the 4 years so things are changing. Elon is smart - he doesn't cut off all the internet, just cuts off the extras. He can still collect the data but we have to pay for streaming and GPS. Glad I ordered before the 1st.