**Tesla Retires Autopilot Amid Push Toward Subscription-Only FSD**
Key Takeaways:
- Tesla discontinues its longstanding Autopilot driver-assist feature to promote Full Self-Driving (FSD)
- The move aligns with Tesla’s legal response to a California judge’s ruling over deceptive marketing
- FSD will now only be available via subscription, ending the $8,000 one-time fee option
AUSTIN, TX — Tesla has officially discontinued “Autopilot,” its basic driver-assistance suite, in an effort to accelerate adoption of its more advanced Full Self-Driving (FSD) software. The decision comes as the company faces mounting regulatory pressure and a strategic pivot to recurring revenue models through software subscriptions.
Regulatory Pressures and Product Shift Collide
On Thursday, Tesla removed Autopilot from its new vehicle lineup, a system previously standard on all models and combining two core features: Traffic Aware Cruise Control and Autosteer. The change was quietly updated in Tesla’s vehicle configurator online, which now lists only Traffic Aware Cruise Control as standard. Autosteer, a component of Autopilot, is no longer included by default. The modification follows a California Department of Motor Vehicles requirement stemming from a ruling that found Tesla guilty of deceptive marketing related to both Autopilot and FSD capabilities.
In December 2025, a judge ruled that Tesla overstated the performance of both technologies, leading drivers to wrongly assume their vehicles could operate autonomously without supervision. As part of the regulatory response, California’s DMV stayed the revocation of Tesla’s licenses for 60 days on the condition that the company drop the Autopilot name. This decision affects Tesla’s manufacturing and dealership licenses in the state, where it controls a major slice of its U.S. market.
Why This Move Is Happening Now
Tesla’s decision is not solely regulatory—it’s deeply strategic. Starting February 14, 2026, Tesla plans to offer FSD exclusively through monthly subscriptions at $99 per month. The option to buy Lifetime FSD for a flat fee of $8,000 has been discontinued. CEO Elon Musk has come under pressure to grow FSD adoption rates, which have historically remained far below company goals. As of October 2025, only 12% of Tesla owners had purchased the FSD system, prompting concerns among analysts about revenue growth from software services.
Moreover, this shift supports Musk’s long-term compensation incentives. Tesla aims to reach 10 million active FSD users by 2035—a target directly linked to Musk’s $1 trillion pay package. The move away from Autopilot, which served as an outdated on-ramp to autonomous driving, symbolizes a full transition toward a more ambitious and monetized version of Tesla’s driver-assist technology portfolio.
Risks and Repercussions for Tesla
The retirement of Autopilot leaves questions about existing Tesla owners and their access to previously standard features like Autosteer. Tesla has not yet clarified whether current drivers will lose functionality or be prompted to upgrade. There are potential legal ramifications if Autopilot functionality is removed retroactively from delivered vehicles without user consent.
Looking forward, Tesla’s approach is clear: make FSD the centerpiece of its monetization strategy. The company also began piloting its first robotaxi fleet in Austin last week, deploying Model Y vehicles without human safety drivers. These developments hint at Tesla doubling down on its vision for autonomous ride-hailing—even as the company admits that full “unsupervised” driving capability remains under development and depends on broader regulatory approval.
This transition may also affect Tesla’s brand loyalty and customer experience. The sudden withdrawal of what had been standard features, vague communication on customer impact, increasing subscription costs, and regulatory scrutiny all contribute to growing concerns among investors and owners alike.
Frequently Asked Questions
Q: Why is tesla autopilot trending?
A: It’s trending because Tesla has discontinued its Autopilot feature in response to both legal pressure from California regulators and a strategic push toward its Full Self-Driving subscription offering.
Q: What happens next?
A: Tesla will offer FSD only through monthly subscriptions starting February 14, 2026, and further roll out unsupervised driving and robotaxi tests as the software improves.
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