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 showroom displaying new Model 3, Model Y, and Cybertruck with signs announcing the end of basic Autopilot and promotion of FSD subscriptions.
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Tesla drops standard Autopilot from new US and Canada vehicles, mandates FSD subscription for Autosteer amid regulatory woes

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Tesla announced on January 23, 2026, that new Model 3, Model Y, and base Cybertruck vehicles in the US and Canada will no longer include standard Autopilot features like lane-centering Autosteer, limiting free access to Traffic-Aware Cruise Control only. Advanced capabilities now require a $99 monthly Full Self-Driving (FSD) Supervised subscription, following the January 18 decision to end $8,000 one-time FSD purchases after February 14. The shift, offering new buyers a 30-day FSD trial, faces regulatory scrutiny over misleading terms and safety concerns, alongside mixed customer reactions.

Tesla CEO Elon Musk announced that the company's supervised Full Self-Driving software will shift to a subscription-only model at $99 per month starting after February 14, ending outright purchases. Owners expressed mixed reactions, from frustration over recurring costs and safety worries to enthusiasm for the technology's convenience. An analyst views the change as a sign of Tesla's growing confidence in its self-driving capabilities.

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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 introduced more affordable Standard versions of its Model 3 and Model Y this week, priced at $36,990 and $39,990 respectively, to stimulate demand following the expiration of the $7,500 federal EV tax credit. Analyst Dan Ives of Wedbush Securities sees this as a step toward 500,000 quarterly deliveries, potentially reaching 600,000 with future models like the Cybercab. The launches come amid mixed reactions on pricing and features, including a closed roof on the Model Y Standard.

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Building on initial December promotions amid global sales challenges, Tesla details U.S.-focused incentives like zero-percent financing, $299 monthly leases, and three months of free Full Self-Driving to clear inventory and offset lost federal tax credits after November's sub-40,000 unit sales.

Tesla has begun rolling out Full Self-Driving version 14.2 to additional vehicle owners, including Models 3, Y, S, X, and Cybertruck. The update addresses key issues from v14.1, such as hesitation and brake stabbing at intersections, while introducing neural network upgrades for better handling of obstacles and human gestures. Elon Musk teased that the upcoming v14.3 will deliver even more significant advancements.

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The U.S. National Highway Traffic Safety Administration has opened an investigation into Tesla's Full Self-Driving system after receiving dozens of complaints about traffic violations. The probe covers 2.88 million vehicles and follows reports of 14 crashes and 23 injuries linked to the feature. This marks the third such inquiry into Tesla this year.

 

 

 

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