If you've been on the fence about paying $8,000 upfront for Tesla Inc. (TSLA)'s Full Self-Driving feature, you've got until Valentine's Day to make up your mind. After that, the one-time payment option disappears entirely.

Subscription or Nothing

Elon Musk dropped the news on X late Tuesday with his typical brevity: "Tesla will stop selling FSD after Feb 14." The key detail? Going forward, Full Self-Driving will only be available as a monthly subscription at $99 per month. No more one-time purchase option.

Here's the math that makes this interesting: At $99 monthly, FSD costs $1,188 per year. That's significantly less painful upfront than the current $8,000 one-time fee, which could make it more appealing to buyers who've been hesitant to drop that much cash on a feature that's still technically in beta. According to investor Gary Black, only about 15% of Tesla buyers currently opt for FSD, so the company is clearly looking for ways to boost that adoption rate.

Meanwhile, Rivian Takes a Different Approach

The timing is notable because Rivian Automotive Inc. (RIVN) just unveiled its own autonomous driving plans. The Tesla rival is going with a LiDAR-based system and offering what it calls "Universal Hands Free" assisted driving, which the company says works on over 3.5 million miles of clearly marked roads across the U.S. and Canada.

Rivian's pricing strategy? They're keeping both options: $2,500 upfront or $49.99 per month for their Autonomy+ subscription. That's notably cheaper than Tesla's offering on both fronts, though Rivian isn't planning to launch until early 2026, giving them plenty of time to refine things while Tesla already has cars on the road.

Model Y Dominates U.S. Sales

Speaking of cars on the road, Tesla's Model Y crossover SUV continues to crush it in the marketplace. The vehicle, which recently added a 7-seater layout option, emerged as the best-selling EV in the United States with over 350,528 units sold. Not too shabby for a company that keeps experimenting with its pricing strategy.

Federal Support for Autonomous Tech

Meanwhile, Rep. Brett Guthrie (R-OH) is pushing for a federal framework to standardize self-driving regulations across the country. The goal is to promote innovation and help U.S. companies develop autonomous driving technology faster than their Chinese competitors. A unified regulatory approach could certainly make life easier for companies like Tesla and Rivian as they race to bring fully autonomous vehicles to market.

Price Action: Tesla (TSLA) shares slipped 0.39% to close at $447.20 on Tuesday, then declined another 0.08% to $446.85 in after-hours trading, according to market data.