Tesla rolls out Autosteer paywall across Model 3 and Y trims, igniting backlash

A week after announcing the end of standard Autosteer on new vehicles, Tesla has updated its configurator to require a Full Self-Driving subscription for the lane-keeping feature across all Model 3 and Model Y trims. The change, building on October 2025 standard trim adjustments, faces sharp criticism for compromising safety and prioritizing subscriptions amid slumping sales.

This latest step fully implements the policy shift first detailed last week for US and Canada markets, extending to all trims without grandfathering. Previously standard for nearly seven years alongside free Traffic-Aware Cruise Control, Autosteer now demands the FSD (Supervised) package—a $99 monthly subscription or $8,000 one-time purchase until February 14, 2026, after which only subscriptions apply (with a temporary $49 rate promo noted earlier this year).

Backlash has intensified on social media and from industry watchers. Reddit users lamented, "No lane centering on a premium car? The humblest Nissan Leaf now comes with ProPilot standard." Responses to Elon Musk on X called it "a really poor move," with fears of future FSD price hikes. Electrek labeled it "a bad move for consumers and a confusing one for the brand," pointing to rivals like Toyota, Honda, and Nissan offering free lane-keeping.

Critics frame the decision as a "desperation move" tied to Tesla's declining sales, with speculation it stems from Musk himself. While aimed at boosting FSD adoption, the paywall raises affordability and safety alarms for entry-level EV buyers, contrasting with standard active safety features like emergency braking that remain free.

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Tesla Model 3 autonomously driving on US highway, dashboard screen announcing switch to Full Self-Driving subscription-only model.
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Tesla enforces Full Self-Driving subscription-only model in US

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Tesla has fully transitioned its Full Self-Driving (FSD) suite to a subscription-only model in the United States, eliminating the $8,000 one-time purchase option for most vehicles. CEO Elon Musk's January announcement took effect over the February 14-16, 2026 weekend, following the recent milestone of 1.1 million global active users. A restricted Luxe Package loophole remains for higher-end models.

Tesla has ceased using the term 'Autopilot' in its California vehicle marketing and rebranded driver assistance features, complying with a California Department of Motor Vehicles (DMV) order and avoiding a 30-day suspension of its dealer license. The changes stem from a years-long dispute over misleading names for its Level 2 systems, which require constant human supervision. DMV Director Steve Gordon commended Tesla for protecting consumers.

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Tesla has updated its Full Self-Driving (Supervised) transfer program, requiring new vehicle delivery by March 31, 2026, to qualify—a shift from prior order-placement criteria. This change, announced February 27 and refined on support pages, impacts Cybertruck Dual-Motor All-Wheel Drive buyers facing 2026-2027 deliveries and a recent price hike from $59,990 to $69,990, frustrating owners hoping to transfer $8,000+ software licenses.

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