Automotive

Automakers Considering Subscription Based Vehicle Features

“Gas pedal is free, but the break is gonna costs ya” - Henry Ford, probably.
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Automakers Considering Subscription Based Vehicle Features

With vehicle-based software becoming more complex each year, automakers are aiming to generate revenue with monthly or yearly fees used to access and update in-car services such as heated seats, remote start, advanced cruise control, and more. The option comes on the back of over-the-air software update tech pioneered by Tesla nearly 10 years ago. With more vehicles including computerized and internet-connected features, new options for access have the automaker industry in a brain-storm phase with their eye on Silicon Valley-style subscription-based profits.

Early attempts have not gone over well. BMW abandoned a plan to charge for Apple CarPlay in 2019 due to pushback, and Toyota said it would review its subscription plan after an unintended paywall issue with remote start. The trick seems to be in offering things that have not become standard features in most new cars to avoid customers feeling they have paid to have the hardware in their vehicle but now need to pay to have the software turned on.

Telling it like it is — “Gas pedal is free, but the break is gonna costs ya” - Henry Ford, probably.

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