Tesla’s New One-Month Trial of FSD Technology: A Response to Sales and Margin Pressure?

Tesla offers customers a one-month trial of driver-assist technology

Tesla is offering a one-month trial of its Full Self-Driving (FSD) technology to both existing and new customers in the United States. This move comes amid pressure on Tesla’s sales and margins due to price competition and weakening demand. Elon Musk has mandated that Tesla staff provide demonstrations of FSD to new buyers and owners of serviced vehicles, based on two emails authenticated by a Tesla source.

Tesla’s driver-assist systems such as Autopilot and FSD still require active driver supervision and do not make the vehicles autonomous. FSD is an optional feature priced at $12,000 that allows vehicles to navigate city streets. However, Musk has faced challenges in delivering on his promise of achieving full autonomy for Tesla vehicles, and the company’s driver-assist software is currently under regulatory scrutiny regarding safety and marketing practices.

Tesla’s margins have been impacted by a price war with competitors that began over a year ago. In January, Tesla warned of slower sales growth this year as it focuses on producing its next-generation EV, codenamed “Redwood.” The company is also facing increased regulatory scrutiny of its self-driving systems and other areas in the US and some European countries. In December, Tesla recalled nearly all of its 2 million vehicles on US roads to implement new safety measures.

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