Tesla Discontinues Basic Autopilot in US and Canada Shift to FSD Subscription

Tesla just dropped its basic Autopilot system for new vehicles in the United States and Canada. New cars now come standard only with Traffic-Aware Cruise Control. The Autosteer feature, which helped keep the car in its lane, is gone as a standard option.

This shift pushes drivers toward the more advanced Full Self-Driving (Supervised), or FSD. Tesla ended the one-time $8,000 purchase for FSD and moved to a $99 monthly subscription starting February 14. The change highlights both regulatory challenges and Tesla's bet on recurring software revenue.

What Changed for New Tesla Buyers

If you order a new Model 3, Model Y, or other Tesla in the US or Canada, you won't get the old Autopilot bundle. That bundle combined Traffic-Aware Cruise Control with Autosteer. Now, you get just TACC. Autosteer and Enhanced Autopilot options have also been pulled.

The online configurator now highlights the $99/month FSD (Supervised) subscription. Existing owners keep what they paid for, but new buyers face this stripped-down base package.

How Traffic-Aware Cruise Control Works

Traffic-Aware Cruise Control holds your set speed. It automatically slows down or speeds up to keep a safe following distance from the car ahead. You still have to steer yourself. You turn it on with the right scroll wheel on the steering wheel or through the touchscreen menu.

It is useful on highways for long drives. But it does not handle curves, lane changes, or exits. Without Autosteer, the car will not center itself in the lane.

Why Tesla Made This Move

Pressure from regulators played a big role. California's Department of Motor Vehicles has pushed back on the term "Autopilot." They argue it misleads buyers into thinking the car drives itself more than it does. In December 2025, an administrative law judge recommended a 30-day sales suspension in the state, though the order was later stayed.

Tesla is also steering its strategy toward software. Basic Autopilot was a big selling point for years. But only about 12 percent of Tesla owners currently pay for advanced features like FSD. Subscriptions create a steady income instead of one-time sales.

Full Self-Driving (Supervised) Explained

FSD (Supervised) goes much further. It handles route navigation on highways and city streets. The system steers, changes lanes, avoids obstacles like bikes or other cars, and even parks itself. Features include "Drives to You" (car comes to your location in parking lots) and automatic parking in parallel or perpendicular spots.

Tesla trains it on billions of miles of real driving data from its fleet. Over the-air updates keep improving it. But here's the key: you must stay attentive and ready to take over at any time. It is not fully autonomous.

The New Subscription Model

Tesla cut the outright purchase option after February 14. Now it's $99 per month. Elon Musk has said the price could rise as the software gets better. Lower upfront cost might bring in more users, but monthly fees add up.

This fits Tesla's push for recurring revenue. Analysts note Tesla needs millions of active FSD subscriptions to support its market value. Subscriptions could bring in steady cash from the growing fleet.

How Customers Are Reacting

Some owners feel shortchanged. They liked having basic lane-keeping without extra cost. Online forums show frustration about the change, especially for highway driving. Others see the subscription as flexible. No big initial payment means easier testing of FSD.

Safety remains a concern. Autopilot features have faced scrutiny after accidents. Regulators want clear messaging that drivers stay responsible.

Conclusion

For shoppers, check the configurator carefully. Test drive to feel the difference between TACC alone and full FSD. Existing Tesla owners with Autopilot keep it unless they trade in.

Tesla positions FSD as the path to better assistance. Progress depends on software updates, regulatory approval, and real-world performance. Availability varies by country, and features require driver supervision everywhere.

The move signals Tesla's focus on software-as-a-service. Whether it pays off depends on how many owners subscribe and how quickly the tech improves. For now, new buyers get a simpler base system and a clear invitation to try FSD monthly. For more updates, visit DrivePK.com