Elon Musk warns of FSD subscription price increases

Tesla CEO Elon Musk is once again laying the groundwork for higher Full Self-Driving (FSD) prices, warning that the current $99 per month subscription price for FSD (Supervised) in Canada and the U.S. will not last as the system’s capabilities continue to advance.

While this is not the first time we have heard this from Musk, this time it comes with extra implications as in just a few weeks customers will no longer be able to buy FSD outright.

In a post on X, following the news that Autopilot is no longer being offered on new vehicles in North America, Musk said, “I should also mention that the $99/month for supervised FSD will rise as FSD’s capabilities improve. The massive value jump is when you can be on your phone or sleeping for the entire ride (unsupervised FSD).”

As we noted, this is not the first time Musk has warned that FSD will become more expensive over time. For years, he has argued that as Tesla moves closer to true autonomy, the value proposition changes dramatically. Under that premise, FSD pricing climbed as high as $19,500 in Canada and US$15,000 in the United States.

However, that didn’t last forever. Instead of continuing to rise, FSD purchase prices were cut significantly, eventually dropping to $11,000 in Canada and $8,000 in the U.S. in April 2024.

Now, with the company getting closer to autonomy and the capabilities of FSD improving significantly with v14 (and launching public unsupervised robotaxi rides in Austin yesterday), Musk is again signaling the FSD prices will increase.

The big questions are when and by how much.

Musk’s comments could also be interpreted as a nudge for buyers still on the fence about purchasing FSD. With Tesla set to end one-time FSD purchases on February 14, a new reminder that pricing will rise over time may encourage customers to lock in the feature now, before the option disappears entirely. For some buyers, especially those who plan to keep their vehicles long term, the combination of a looming deadline and warnings of future price increases may make purchasing FSD before February 14 feel like the last opportunity to secure permanent access at a relatively discounted rate.

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