Tesla’s New Feature Sparks Outrage: Pay $1,600 More to Unlock Your Car’s Full Potential

Tesla Model Y rear-wheel drive version
Option to extend mileage available
Controversy arises among consumers

Tesla has launched an option to extend the range of the Model Y rear-wheel drive model in the US. The newly launched Energy Boost can extend the driving range up to 80 km (50 miles), and the price for this option is up to $1,600.

Accordingly, a software update can unlock the driving range limit without additional manipulation or battery replacement. However, Tesla’s policy attracts attention as consumers’ reactions are mixed.

Pay up to $1,600 more
Secure a driving distance of 80 km (50 miles)

Previously, in May 2024, Tesla CEO Elon Musk announced that a package that could extend the driving range of the Model Y rear-wheel drive model could be launched. This energy boost option, launched according to Tesla’s plan, is priced separately depending on the driving range. The $1,000 option can increase the driving range to approximately 50 km (31 miles), and the $1,600 option can increase the driving range to 80 km (50 miles).

In the US, the Model Y RWD model was certified to have a driving range of 393 km (244 miles) on a single charge. The RWD long-range model provides a driving range of 483 km (300 miles). This option is expected to reduce significantly the gap in the driving range between the two models. Accordingly, a new option is advantageous for consumers who cannot select a long-range model when purchasing a vehicle.

Strategic Decision for Subsidies? Excessive Tactics? Opinions Divided

However, much criticism has been raised against Tesla’s policy. It is pointed out that Tesla is deliberately reducing the driving range and evading the subsidy standards. When Canada implemented a subsidy policy for electric vehicles with limited range, Tesla limited the range through software and later allowed it to be unlocked through option purchase.

Some argue it is a strategic decision tailored to each country’s circumstances, but others say it is a trick to increase subsidies. In addition, consumer complaints have been raised that although batteries have the performance to provide higher driving ranges, they are divided into grades by limiting driving range. Consumer opinion is that this is an excessive marketing strategy since one has to pay a considerable amount of money to increase the driving range.

Behind Tesla’s Policy: Strategy for Manufacturing Process Efficiency

Additionally, since the driving range of an electric vehicle’s battery decreases as its lifespan wears out, some say that the driving range lock should be unlocked for some older cars. There are also advantages due to the driving range limit. Although it is locked by software, the battery cell performance remains the same, so the battery load is small when charged to 100%.

Tesla’s policy is said to aim at improving the efficiency of the manufacturing process. Producing and installing one battery and limiting the driving distance through software shows higher profit efficiency than dividing the battery capacity and driving distance. There are conflicting opinions regarding Tesla’s policy, with some saying it increases consumer choices and others saying it is excessive marketing tactics.