Tesla Drops Autosteer From Standard Cars, Pushes $99 FSD Subscription as Owners React

Tesla Drops Autosteer From Standard Cars
Tesla Drops Autosteer From Standard CarsTesla Drops Autosteer From Standard Cars

Tesla is quietly rewriting what “standard” means for its cars. In a move that’s already stirring debate among owners, Tesla has stopped including key driver-assistance features like Autosteer with new vehicles sold in the US and Canada—nudging customers toward its $99-a-month Full Self-Driving (Supervised) subscription instead.

The change is part of a bigger strategy being driven by Elon Musk, who has been increasingly vocal about turning Tesla’s AI and autonomous software into a major revenue engine as electric vehicle sales growth begins to cool.

What New Tesla Buyers Still Get—and What They Don’t

As per Tesla’s updated online configurator, new buyers will continue to receive Traffic-Aware Cruise Control as part of the base purchase. This feature allows the car to maintain a set speed and follow traffic at a safe distance.

What’s no longer included is Autosteer, which keeps the vehicle centred in its lane on highways. Tesla has also discontinued Autopilot and Enhanced Autopilot as separate offerings—features that previously bridged the gap between basic cruise control and the full self-driving package.

Now, customers who want lane-centering, city street steering, and more advanced assistance must subscribe to Full Self-Driving (Supervised) for $99 per month.

Why Tesla Is Making This Shift

While Tesla still earns most of its money from selling cars, Wall Street’s long-term bet is on software and AI. A significant portion of Tesla’s massive valuation hinges on the belief that autonomous driving—and eventually robotaxis—will generate recurring revenue at scale.

Musk has previously set an ambitious internal target of 10 million FSD subscribers over the next decade, a milestone tied to his controversial mega pay package. As of October, Tesla CFO Vaibhav Taneja revealed that only about 12% of Tesla owners had paid for FSD software, underlining why the company may be tightening the funnel.

Adding to that push, Tesla recently announced it will end the option to buy FSD outright for $8,000 starting February 14, making subscriptions the only way forward. Musk has also confirmed that FSD pricing will increase over time as capabilities expand.

Owners Aren’t Happy

The reaction from Tesla owners has been swift—and largely critical. Many drivers say they relied on basic Autopilot features for daily commuting and only paid for FSD during long road trips.

On social media, several users expressed frustration at losing functionality that once came standard. One widely shared post summed up the mood, calling the decision “disappointing” for drivers who don’t need full autonomy but still want highway assistance.

Regulatory Pressure in the Background

Tesla’s decision also comes amid mounting regulatory scrutiny. California’s Department of Motor Vehicles recently gave the company a 60-day deadline to revise how it markets its driver-assistance systems—or risk a temporary suspension of its retail sales license in the state.

One key concern raised by regulators was Tesla’s use of the term “Autopilot,” which they argued could mislead consumers into believing the system offers fully autonomous driving. While the DMV has declined to comment on whether Tesla’s latest move is linked to this pressure, the timing hasn’t gone unnoticed.

Final Words

Tesla’s latest change makes one thing clear: the company is no longer treating driver-assistance as a free add-on—it’s a paid software product with recurring revenue at its core. While this could strengthen Tesla’s long-term AI ambitions, it risks alienating loyal customers who feel they’re paying more for less.

As Tesla pushes harder into subscription-driven autonomy, the real test will be whether drivers see enough value in FSD to keep paying—or decide that basic driving assistance should never have left the standard package in the first place.

Anubhav Chauhan

Anubhav Chauhan is a passionate technology writer at NewzTechy.com, where he focuses on delivering the latest updates and insights from the fast-moving world of tech. With a keen interest in emerging technologies, gadgets, and digital trends, he enjoys breaking down complex topics into simple, easy-to-understand content for everyday readers. Anubhav believes that technology should be accessible to everyone, and through his writing, he aims to keep readers informed, aware, and ahead of the curve. Whether it’s new innovations, software updates, or industry developments, he is always eager to explore and share valuable information with his audience.