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Will FSD be Transferable? - Elon: "we'll give it some thought"

Discussion in 'The UK and Ireland' started by Yev000, Oct 21, 2020.

  1. Yev000

    Yev000 Active Member

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    Just now, on the Q3 earnings call...

    I'm kinda surprised it wasn't on his radar already. If he thought about it already he would have just shot it down.

    chanse.JPG
     
  2. glide

    glide Active Member

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    “We’ll give it some thought”

    That’s corporate-speak for “no”
     
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  3. Iain

    Iain Member

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    My guess is there is something in the works once it’s actually FSD. Elon has talked about its value once it accomplishes it’s goal. I wouldn’t rule out a transfer fee just yet
     
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  4. 75Shappyt

    75Shappyt Member

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    No!
     
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  5. NewbieT

    NewbieT Member

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    They’ll do subscription instead. It’s easy steady revenue they wouldn’t otherwise have. 100% profit.
     
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  6. Durzel

    Durzel Active Member

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    Subscription seems more likely, would capture more of the leasing/PCP market.

    That said if FSD is as amazing as is already being claimed it might start adding residual value to the car.
     
  7. Roy W.

    Roy W. Battery running low...

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    The reality for me is that I’ll never buy FSD while it stays with the car.

    If FSD stayed with my account, and could be transferred to my next Tesla, I’d buy it tomorrow.
     
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  8. gangzoom

    gangzoom Active Member

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    I don't think Tesla will ever do this, if it works its far too valuable an asset to be transferable.
     
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  9. MadScientist

    MadScientist Member

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    Maybe Tesla won't go down this path. However a key advantage is that it would lock people into the brand.
     
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  10. Joelly

    Joelly Member

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    I think the potential income achievable now from this could be huge. Current owners have had their cars a while, not too many have fsd (I suspect a lot will come down to what percentage do), by allowing this a chunk of people now purchase fsd and then buy a new tesla next time around. Win win.
    maybe a limited time offer, maybe a more expensive FSD option which allows transfers, maybe limited to one other vehicle.
    Personally I think long term subscription is a better long term option, although it’ll be one of the the most expensive subscriptions around. The other alternative is all cars are sold with FSD and therefore it won’t be necessary to transfer(this will happen at some point too).
     
  11. Durzel

    Durzel Active Member

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    if the subscription is a low monthly price, or you could dip in and out of it as and when you felt you wanted it (e.g. for road trips), why would anyone buy it outright?

    As I understand it (I might be mistaken) but the price of FSD includes hardware upgrades, when available. So if there's a HW4 added to Model 3s in the future that FSD purchasers would get that for free? (or maybe a reduced cost, I dunno).

    That being said a subscription model would make sense for people leasing/PCP, as otherwise you'd be dropping £6800+ on something you don't derive any financial benefit from at all.
     
  12. LongRanger

    LongRanger Active Member

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    Just doesn’t make sense as financial model right now for PCP/lease/company drivers, which is easily the majority of “owners”.

    When the ability to trade on “exciting” and “amazing” wears off they’ll have to think again. And then really annoy everyone who paid ££ but didn’t get to keep it when they change cars after 2-4 years.
     
  13. Yev000

    Yev000 Active Member

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    Peronally, I think it makes sence to sell licenses. My prediction is they will de-couple it from the car completely.

    It encourages people to keep buying new hardware, as well as rewards early adopters.


    Elon already stated it would be cheaper long term to just buy it. You can take whatever meaning you want from that, but the meaning i took is "we'll make renting more expensive than owning in the medium term".

    Ability to dip in and out as you put it is purely up to Tesla to allow. If FSD is essintially a 12/24 month contract and after 24 months you pay more than if you just bought it........

    If you bought an FSD "license" on your account, to use on any compatible Tesla. It would be like buyibng an app for your contract phone... When you upgrade, you can install the app on your new phone.
     
  14. Glan gluaisne

    Glan gluaisne Supporting Member

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    FSD as a subscription seems to make a lot of sense, as it fits pretty much every market requirement. PCP/lease drivers can take a subscription out if they wish, and just having the ability to subscribe to the service would keep used car residuals high. I bet that FSD doesn't add a lot to the price of a used car at the moment, the depreciation on that element of the original car price is probably way higher than for the car itself.
     
  15. Yev000

    Yev000 Active Member

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    Cheapest M3 on autotrader 37k - no FSD

    Auto Trader logo

    Cheapest LR 45k - no FSD

    Auto Trader logo


    First LR advertising FSD 50k

    Auto Trader logo

    Cheapest performance 51.5k - No FSD

    Auto Trader logo

    Performance FSD 53k

    Auto Trader logo


    I mean ... small sample size ofc. But it looks to be commanding at least a 1.5k lead. The fact that 1 year old cars are selling at new prices is also pretty impressive. It also shows a lot of people didn't buy FSD - that are now selling their cars.

    Would be insteresting to see the prices next year.
     
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  16. Glan gluaisne

    Glan gluaisne Supporting Member

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    So, from that it looks as if the value of FSD depreciates a lot more than the value of the car. Bit more than I was expecting, TBH. The cars seem to be losing about 10% to 12% of their purchase price in the first year (which seems far too low) and FSD is losing a bit over 65% in the first year
     
  17. Durzel

    Durzel Active Member

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    FSD added nothing at all to GFV when I was getting lease quotes, and no leasing company I spoke to treated it as anything but a straight cost addition to the loan value.

    That might change if FSD beta really blows up into something amazing, we'll see.
     
  18. Medved_77

    Medved_77 TM3 SR+ | MSM+Black | No FSD

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    I think the subscription model will probably be on a per mile basis, available with Tesla Insurance only.
     
  19. Glan gluaisne

    Glan gluaisne Supporting Member

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    The perceived value of FSD in the UK probably isn't very high amongst the general car buying public at the moment. It's somewhat limited here, so not being able to use features like summon, plus the limitations imposed by the combination of UK roads and legislation, means that FSD doesn't add a great deal over the top of standard autopilot. A lot of drivers probably won't use autopilot a lot (I've only used it a couple of dozen times in nearly a year), and the number that could really make use of the added features provided by FSD are probably pretty small.

    Be interesting to know what percentage of UK drivers would place a high value on something like reliable FSD, over, say, reliable collision avoidance/situational awareness enhancement. I'd very much like to see better and more reliable driver aids, but I enjoy driving too much to really want FSD. I doubt FSD is going to just safely overtake slower traffic the way I might, with that neck-snapping acceleration that makes driving a Tesla so much fun.
     
  20. Roy W.

    Roy W. Battery running low...

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    I think the market will settle out once the car has been around for two or three years. We might well see lower-than-average depreciation though because of increasing demand for EVs.

    My guess is that FSD will become much like dealer add-ons and high trim models - it doesn’t make a big difference to residual value, but it does make the car easier to sell.

    I’m also interested to see how far Elon will carry on increasing the FSD prices. I think if he ever gets as high as £/$10k for FSD then sales will be minuscule.

    And if they do go for a subscription model, I doubt you’ll be able to dip in and out on a monthly basis. I reckon they will make it really easy to subscribe, and either have a minimum 12 month term, or make you jump through hoops to cancel. Otherwise many folk will just subscribe for a month if they have a road trip planned.

    Just my 2c. Which is all that it’s worth! ;)
     
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