Welcome to the subscription economy on wheels, where convenience quietly morphs into control. Today, everything is subscription-based—from music and movies to grocery apps and razor blades. Now, automakers are embracing the model, software-locking features already built into your car and leasing them back to you. Are we driving or just paying rent on our own vehicles?

Automakers like BMW, Tesla, Volkswagen, and others are leading this shift. BMW once dared to offer heated seats via its ConnectedDrive store—despite the hardware being factory-installed—only to abandon the idea after consumer outrage and backlash. (BMW has officially discontinued that subscription service.) The DriveDAX StreetThe Verge Meanwhile, Volkswagen has taken it a step further: locking extra horsepower behind a paywall. Owners of its ID.3 Pro electric vehicle must now pay roughly £16.50 ($22 USD) per month—or a £649 ($880) one-time fee—to unlock full performance. TechRadarPC Gamer

Automakers defend this model as flexible—want heated seats just for winter? Subscribe for a month. Need performance only on road trips? Unlock it as needed. But consumer watchdogs see it as a slippery slope: pay-per-feature isn’t innovation; it’s a financial lever. After all, subscriptions aren’t a new concept—they mirror streaming, where $15 here and $20 there silently stacks up into hundreds of dollars a year. But when your car, the symbol of freedom, becomes a treasure trove of recurring fees, the illusion of ownership starts to crack.

This isn’t just about money—it’s about autonomy and identity. When everyday conveniences become recurring charges, you stop owning things; you start subscribing to them.

Are you still in the driver’s seat? Or are you just leasing access to what’s already in your possession?

What “Subscription Cars” Actually Include
(and What Automakers Plan Next)

Below is a clear, source-backed map of who’s selling (or testing) what—plus how much revenue they expect to squeeze from “features on demand.”

The feature menu (today & tested)

• Tesla

  • Full Self-Driving (Supervised) as a monthly subscription; price cut to $99/mo in April 2024. One-time purchase currently listed at $8,000. Plans include expanding FSD subscriptions in China. TeslaThe VergeTesla OracleReuters

  • Performance/comfort unlocks via software (e.g., Acceleration Boost) sold as paid upgrades (one-time). (Tesla site & docs reference FSD specifically; performance boosts are add-on software toggles.)
    
    
    

• Mercedes-Benz (EQ electric models)

  • “Acceleration Increase”: software unlock that boosts power and cuts 0–60 times; originally $1,200/year; later offered in monthly/yearly/lifetime options in North America, sometimes at $600–$900/year depending on model. Models include EQE/EQS sedans & SUVs. The VergeMotor1.comThe Drive
    
    
    

• BMW

  • Heated-seat subscription tested in select markets (e.g., $18/mo) was dropped in 2023 after backlash; BMW says it will focus on software-based services instead (i.e., features that are clearly software). The VergeEdmundsForbes
    
    
    

• Volkswagen (ID. family)

  • Power/feature “Upgrades” sold via app/shop. 2025 UK/EU launches include ID.3 horsepower boost (+~20 kW / ~27 hp) as £16.50/mo or ~£649 one-time; on-demand navigation and other infotainment/driver-assist features also offered. PC GamerThe Economic TimesVolkswagen NewsroomVolkswagen ID.3
    
    

• Porsche (Taycan)

  • Functions on Demand (FoD) for items like InnoDrive, Active Lane Keep Assist, etc., as monthly or one-time over-the-air purchases (with some reports that FoD availability was paused in 2024 for certain features, possibly returning). Porsche NewsroomThe DriveAsk PorscheTaycanForum
    
    

• Toyota

  • Remote start via app (Connected Services) tied to subscription; company “reviewed” plans after backlash around key-fob remote start being paywalled. Details vary by model/year and service tier. The Drive
    
    

Key pattern: Carmakers are shifting to over-the-air (OTA) toggles for driver assistance, infotainment, connectivity, performance, and comfort—with a move toward monthly, annual, or lifetime unlocks linked to the vehicle (and sometimes transferrable to subsequent owners).

How much money automakers expect from this:

• General Motors projects $20–$25B/year from software & services by 2030 (Ultifi platform; in-car app store). GM Investor RelationsTechCrunchGM Authority
  
  

• Stellantis targets ~€20B/year (≈$22B) from software-enabled products/subscriptions by 2030; €4B/year by 2026. Reutershttps://media.stellantisnorthamerica.com
  
  

• Mercedes-Benz has reported >$1B in a recent year from software-based upgrades and has flagged digital services (MB.OS) as a recurring-revenue pillar going forward. CarBuzzMercedes-Benz Group
  
  

• Industry snapshot: Many OEMs publicly bet big on subscription income, but consumer pushback is material—BMW’s reversal and survey data show reluctance to pay recurring fees for built-in hardware. Recent reporting suggests several legacy strategies are being re-evaluated amid tepid uptake. The VergeAxiosWIRED
  
  
  

Bullet list by automaker — features now / tested / planned

• Tesla: FSD subscription; one-time FSD; periodic price changes; market expansion (China). TeslaThe VergeReuters

• Mercedes-Benz: OTA performance boosts (EQE/EQS); evolving pricing terms (monthly/yearly/lifetime). The VergeThe Drive

• BMW: Shelving heated-seat subs; focusing on software-native services (e.g., connectivity, advanced ADAS, digital features) rather than unlocking pre-installed hardware. EdmundsForbes

• Volkswagen: ID.3 power boost via subscription/one-time; on-demand navigation; “Upgrades” store in app/infotainment; broader FoD roadmap for ID family. PC GamerVolkswagen NewsroomVolkswagen ID.3

• Porsche: FoD for driver-assist and comfort features; monthly or lifetime; lifetime unlocks stay with the car; availability may shift by model year/region. Porsche NewsroomAsk Porsche

• Toyota: Connected Services (remote start and app features) on subscription; policy refined after backlash. The Drive

• GM: Notable revenue target; building Ultifi app ecosystem and subscriptions across brands (features vary by vehicle). GM Investor Relations

• Stellantis (Jeep, Ram, Peugeot, etc.): Services & Subscriptions, Features on Demand, Data services as 5 pillars of software monetization toward €20B by 2030. https://media.stellantisnorthamerica.comAutotalk

The Psychology of Paying Twice & the Economics of Control

Short version: Carmakers are pivoting from one-time sales to recurring revenue by software-locking features you already have—banking on human autopilot (we forget to cancel) and investor hunger for subscription cash flows. It’s not just “heated seats”; it’s a new definition of ownership.

Why consumers accept it (and why automakers push it)

• Small monthly fees feel harmless. Behavioral finance 101: $15–$60/month sounds painless—but compounds into hundreds per year. Automakers frame it as “flexibility” (turn it on only when you need it), knowing most people won’t micromanage toggles every season.
  
  

• Status + FOMO. Performance and ADAS unlocks are marketed like premium “skins” for your car. The urge to upgrade is constant—even if the hardware’s already installed.
  
  

• Frictionless OTA = frictionless billing. Over-the-air updates make buying a feature as easy as tapping “Subscribe.” Easy in → hard out.
  
  

• Investor narrative. Wall Street rewards predictable, SaaS-like revenue. Executives are open about the target: billions per year in software/services. GM has publicly guided to $20–$25B annually by 2030 from software and services; Stellantis targets ~€20B by 2030. GM Investor RelationsReuters+1https://media.stellantisnorthamerica.com
  
  

Quote (BMW): “People feel that they paid double—which was actually not true, but perceptions matter. What we don’t do anymore… is offer seat heating this way. It’s either in or out.” — Pieter Nota, BMW Board Member for Sales & Marketing, after dropping the heated-seat subscription. ForbesMotor1.comThe Verge

Quote (GM): “We see a major profit opportunity serving the second and third owners with software and services.” — Mary Barra, CEO, outlining lifetime monetization beyond the first buyer. GM Authority

What’s being paywalled (with real prices)

• Power & acceleration (performance boosts)
  
  

  • Mercedes-Benz EQE/EQS “Acceleration Increase”: $60–$90/month or $600–$900/year (historically messaged as ~$1,200/yr), cutting 0–60 times via software. Car and DriverMotor1.comMercedes-Benz USA Media
    
    

• Comfort (heated seats & more)
  
  

  • BMW heated seats: program scrapped in 2023 after backlash; BMW says future subs will focus on truly software-native features, not unlocking baked-in hardware. The VergeForbes
    
    

• Driver assistance & remote functions
  
  

  • Tesla: FSD (Supervised) subscription (monthly) and one-time options; performance upgrades sold as software add-ons. Strategy: expand subs by market. Reuters
    
    

  • Toyota: elements of Remote Start/Connected Services tied to paid plans; policies adjusted after pushback. Car and Driver
    
    

• Horsepower “on demand” (EVs)
  
  

  • Volkswagen ID. series: ID.3 power boost as £16.50/mo or ~£649 one-time in some markets; additional nav/infotainment features via app store. Reuters
    
    

The playbook: from ownership to access

• Step 1: Ship the hardware. Put the heater elements, motors, or higher-output inverter in every car.

• Step 2: Lock with software. Disable features by default; sell access later.

• Step 3: Monetize over the vehicle’s lifetime. First owner subscribes; second and third owners become new ARR streams. (GM’s strategy explicitly targets this.) GM Authority

• Step 4: Tell a “choice & flexibility” story. Manufacturers pitch seasonal or short-term unlocks; in practice, recurring charges stick.

• Step 5: Scale to billions.
  
  
  

  • GM: $20–$25B/yr by 2030 (Ultifi platform, in-car app store). GM Investor Relations
    
    

  • Stellantis: ~€20B/yr by 2030; ~€4B by 2026; 34M “monetizable” connected cars by 2030. https://media.stellantisnorthamerica.com
    
    

  • Industry reality check: Consumer pushback is real; BMW reversed course; even mainstream analyses say Western OEMs overestimated appetite for paywalled basics. The VergeWIRED
    
    

The uncomfortable question:

Automakers call this “flexibility.” But if the car you bought can hold its own capabilities behind a monthly paywall—are you an owner, or just a long-term renter with keys?

Subscription Cars:
Convenience or a Contract on Your Freedom?

When Convenience Becomes a Contract
Automakers Are Selling Convenience — But What’s That Costing You?

Automakers frame subscriptions as smart value—“lock features seasonally,” “only pay for what you use,” “upgrade seamlessly via OTA.” But the reality? Convenience is fast becoming a financial leash.

• BMW’s heated-seat fiasco: After backlash, BMW conceded the model was perceived as unfair. Pieter Nota, BMW’s board member, said, “People feel that they paid double... What we don’t do anymore… is offer seat heating this way. It’s either in or out.” (Sources: Forbes, Motor1).
  
  

• Stellantis CEO Carlos Tavares has explicitly pitched subscriptions as major growth engine: “We will see that what we must get to is 30, 40, 50% of software features on a subscription basis… this is where the profitability will be at.” (Source: Reuters).
  
  

• GM’s Mary Barra added more bluntly: “We see a major profit opportunity serving the second and third owners with software and services.” This is the ultimate shift: monetize cars not just at sale, but indefinitely. (Source: GM Authority).
  
  

From Ownership to Access — The Silicon Valley Model Comes to Cars

The car industry is morphing into the Software-Defined Vehicle (SDV) era, where control of your driving experience is wielded through computer code — not mechanics.

Pros:

• OTA updates unlock new capabilities over time.

• Predictable vehicle performance and updates.
  
  

Cons:

• Real ownership diminished — cars become rolling app stores with paywalled functions.

• Increased fragmentation: brands push loyalty via subscriptions, not reliability.

• Psychological toll — paying for your own hardware feels like self-rent.
  
  

What’s Next? The Future of Car Ownership—or Lack Thereof

• Financial Automation will expand: AI-driven upsells, auto-renewing performance “boosts,” and smart suggestions for feature unlocks (“it’s winter, want heated seats now?”).

• Tiered Ownership Models likely emerge: “Base Tier” car (minimal functions), “Pro Tier” (all comfort/performance unlocked), all marketed with “zero hardware change.”

• Erosion of resale clarity: A used car may advertise “Lifetime Access,” but what if that software becomes subscription-only future? Ownership strings get increasingly complex.
  
  

The Rhetorical Engine

Convenience has a price. When you buy a car but pay extra for horsepower, comfort, and autonomy—it’s not innovation. It’s the subscriptionization of your personal freedom. As Chuck Palahniuk warned, “The things you own end up owning you.” Today, even your vehicle's best parts are negotiation points.

Are we accelerating toward automation as self-imprisonment — or will drivers still fight for actual ownership?

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