Tesla cuts price of fully self-driving software by one-third to $8,000 By Reuters

SAN FRANCISCO (Reuters) – Tesla has cut the price of its fully self-driving (FSD) driver assistance software from $12,000 to $8,000 in the U.S. as CEO Elon Musk doubles down on self-driving technology.

Musk is investing in technology that could become a cash cow for the world’s most valuable automaker. But he has been unable to achieve his goal of self-driving capabilities for years as the technology faces increasing regulatory and legal scrutiny.

Musk said earlier this month that Tesla (NASDAQ:) will unveil its robotaxi on August 8. This is after Reuters reported that Tesla had scrapped its cheap mass-market cars in favor of robotaxi.

According to Tesla’s website, customers can now pay $8,000 for the FSD feature or subscribe to it for $99 per month.

Tesla recently reduced the price of the US monthly subscription for this feature from $199, while also offering all Tesla customers a free month’s subscription to the software.

Tesla is also cutting prices on its car lineup in key markets. Due to declining sales and a deepening electric vehicle price war, Tesla has cut prices across its Chinese lineup by nearly $2,000 to match its price cuts in the United States.