Elon Musk announced Tesla will stop selling its Full Self-Driving (FSD) software as a one-time purchase after February 14, shifting to a subscription-only model. The move marks a major shift in Tesla's autonomous driving strategy.

Currently priced at $8,000 upfront or $99 monthly, FSD has seen declining subscription rates in recent years. Tesla vehicles come standard with basic autopilot, while FSD adds features like automatic lane changes and traffic light recognition. However, the system still requires driver supervision.

The pivot reflects Tesla's broader push toward recurring revenue streams amid slowing electric vehicle sales. Musk has positioned self-driving technology and robotics as key growth areas. Analysts expect the subscription model to improve accessibility and boost long-term adoption.

Industry experts say the change aligns FSD pricing with other automotive software services. The move could also help Tesla navigate regulatory scrutiny around autonomous driving claims while maintaining cash flow during vehicle demand uncertainty.