Wed. Apr 24th, 2019
Model-3

Tesla Announces Model 3 Leasing, Makes Autopilot Standard

Model 3 has been the best-selling premium car in the U.S. for the past three quarters, and it has the highest consumer satisfaction rating of any car in the world.

Now, Tesla is announcing some changes to online ordering to simplify vehicle choices and make Autopilot more affordable.

All Tesla vehicles now come with Autopilot bundled as a standard feature for less than the prior cost of the option. For example, Model 3 Standard Plus used to cost $37,500, plus $3,000 for the Autopilot option. It now costs $39,500, with Autopilot included.

According to Tesla, the Autopilot is very important because their data strongly indicates that the chance of an accident is much lower when Autopilot is enabled. Autopilot also dramatically improves the quality of the driving experience, especially in heavy traffic, as thousands of our customers frequently describe online.

Leasing

Customers in the U.S. will be able to lease Model 3 for a small down payment and competitive monthly payments. Customers can choose any Model 3 variant and select an annual mileage option of 10,000, 12,000, or 15,000 miles.

Customers who choose leasing over owning will not have the option to purchase their car at the end of the lease, because with full autonomy coming in the future via an over-the-air software update, we plan to use those vehicles in the Tesla ride-hailing network.

Options

Last quarter, Tesla introduced two new Model 3 variants with more competitive pricing than ever before – Standard and Standard Plus. Since then, Standard Plus has sold at more than six times the rate of Standard, far exceeding the expectations.

Given the popularity of the Standard Plus relative to the Standard, Tesla made the decision to simplify its production operations to better optimize cost, minimize complexity and streamline operations. As a result, Model 3 Standard will now be a software-limited version of the Standard Plus, and they are taking it off the online ordering menu, which just means that to get it, customers will need to call Tesla or visit any one of the several hundred Tesla stores. Deliveries of Model 3 Standard will begin this weekend.

Its range will be limited by 10%, and several features will be disabled via software (including the onboard music streaming service, navigation with live traffic visualization, and heated seats). Similar to other software-limited vehicles produced in the past, Standard customers will have the option to upgrade to a Standard Plus at any time. Similarly, anyone who has already bought Standard Plus and wants to convert to Standard is welcome to do so, and the company will provide a refund for the difference in cost.

To further simplify the Model 3 line-up, beginning today customers will also need to call or visit a Tesla store to get Model 3 Long Range Rear-Wheel Drive.

Tesla said it’s making these changes to ensure that the online order process is focused exclusively on the three Model 3 variants customers want most.