Tesla will soon downgrade software on the entry-level Model 3
engadget.com
engadget.com
I get market segmentation and having optional features in a car. But most car companies don't actually integrate a seat heater if you didn't order one. Lugging the weight of the extra hardware for these features around but being blocked from using them at all feels wromg to me.
Heating pads start around $15.00 on amazon, seems easy to believe it's cheaper to make only seats with heating integrated instead of making two part numbers, doubling the overhead for seat inventory, make the assembly line more complex, making the order system more complex, documentation, testing, doubling the overhead for car inventory, handling additional order complexity etc.
No, this isn't "pretty common". I've worked on a variety of automotive assembly lines and have never seen it. Why would you waste the money? It's trivial to not include parts you don't need, because the lines are designed that way.
"The door refused to open. It said, “Five cents, please.” He searched his pockets. No more coins; nothing. “I’ll pay you tomorrow,” he told the door. Again he tried the knob. Again it remained locked tight. “What I pay you,” he informed it, “is in the nature of a gratuity; I don’t have to pay you.” “I think otherwise,” the door said. “Look in the purchase contract you signed when you bought this conapt.” In his desk drawer he found the contract; since signing it he had found it necessary to refer to the document many times. Sure enough; payment to his door for opening and shutting constituted a mandatory fee. Not a tip. “You discover I’m right,” the door said. It sounded smug. From the drawer beside the sink Joe Chip got a stainless steel knife; with it he began systematically to unscrew the bolt assembly of his apt’s money-gulping door. “I’ll sue you,” the door said as the first screw fell out. Joe Chip said, “I’ve never been sued by a door. But I guess I can live through it."
Philip K. Dick, Ubik
Sold!
What could be better than this?
How do you think modern JIT auto manufacturing works? And what if I told you that Tesla is, in fact, doing the opposite most of the time, by building in batches of cars and holding inventory? Why do we continue to attribute to Elon "inventions" that already exist?
I don't understand why they decided to make two models out of the same engine.
As you go more esoteric, you need to rebuild the engine, replace piston rings, etc. But those bikes are either built for it (off road two strokes) or have the budget for it (racing). Still don't need to scrap the whole engine.
Perhaps oil changes counts as high maintenance. It can be a bit messy, but it's quick and cheap on most bikes. More time is spent oiling chains overall though.
Taiwan has drive through automated oil change machines that suck the oil out and fill up via a tube into the filler. Makes sense especially for <125cc scooters which do not normally have oil filters.
There are motorcycles that you buy facing the near certainty that it will most likely outlive you, like KLR 650, or you can get a Ducati with a Desmosedici Stradale in it, where you have to get valves adjusted (major service) every 2500 miles. But given timely service, no motorcycle will last less than 50k miles, and most will last above 100 before an engine block rebuild.
Comparing cars to cars, or motorcycles to motorcycles, the logic holds though.
Increasing performance puts greater stress on the engine, increasing maintenance cost and/or failure rate. If engine breaks down before end of warranty, it's producer's cost.
This is an extreme example of it.
The difference between the 18 page/min and the 45 page/min copier was a DIP switch and $10k.
I remember there was an AMD chip that was similarly hobbled, that could be unlocked using a pencil line to jump a pin on the processor.
If there were a bunch of viable Tesla-like alternatives out there, they wouldn't be able to afford to leave in disabled features.
So, it's in essence exploiting their monopolistic position which is evil.
Same as a chip manufacturer, say Intel, developing a process to make say 3x faster chips. But instead of releasing the fastest chip they could make, they titrate their new ability to the market over time. First a chip 50% faster, then 2x, etc., so they can milk the market.
I don't know about what you're willing to accept, but I don't like being treated like a farmer's cow.
So... Where's my 200 dollar car that costs 4000 to make?
Oh wait, did you mean
>The profit margin of an item is what value the customer is willing to pay over and on top of the cost of initial production + logistics of getting product to the final resales?
Because if you don't take that in to account, you only played enough attention to validate a worldview in which capitalism justifies unbounded exploitation.
Capitalism operates within specific bounds outside of which the axioms on which it is based cease to produce net positive effects for the health of the societal framework in which it operates based on it's tendency to inequitably partition the fundamental means of exchange without active measures in place in order to ensure that the majority of capital continues exchanging hands instead of languishing in accounts chasing after opportunities for growth rendered nigh-impossible to find once a "winner" is established by conservative investment strategies in most industrial verticals, and that winner optimized beyond the reach of meaningful competition by new entrants.
You'll then end up in repetitive cycles of boom and bust as too much capital chases too few opportunities for growth; all the while with the financial industry converging toward whatever form is most able to avoid current regulatory controls.
Some design or manufacturing flaws can lead to auto makers paying someone to dispose of an otherwise brand new car. Sometimes, such as when they've poorly forecast demand, selling their inventory at a loss is a smaller loss than paying for disposal. Other times they will destroy functioning, new vehicles if that's what's necessary to maximize total revenue.
If anything you're Also to a degree proving my point on the market at large being skewed toward larger actors; as the capability of the "new entrant" to extract value from the market is significantly diminished. Get that same car to a dealership, and they might even be able to extract even more value for it.
Also, if you're taring the sale at last seller, that's not entirely fair. First sale is what we're discussing, generally represented by first change of hands after factory->reseller.
>the financial industry converging on whichever form most effectively sidesteps the current regulatory regime.
I should probably have phrased it to industry in general, but regardless, I stand by my original point. The automotive industry accepts taking a loss through sub-optimal implementations of regulatorally incentivized models in order to optimize on the most profitable model segment.
Capitalism will converge in the direction of a net negative naturally without active efforts to reign in it's tendency toward fiscal optimization at all costs.
I'm not even being controversial and saying socialism/Marxism is the way. (They aren't; in case anyone is wondering). I'm just pointing out what actually happens.
I think they've learned from Juniper's licensing model for routers. They ship with all the hardware, but are reliant on license keys for full ability. Go look up the licensed versions of an mx204 for instance. Not something I'm a fan of.
Nope they do, and it is more common than you think. I become aware of this while on my friend Ford Fiesta as he enabled some features which were not available even in the most expensive model. It was a "wtf" moment. Until I realized that my car (mazda 3) does have features disabled by the seller. I just was too lazy to research unlocking them and doing it.
As someone who has owned a Fiesta, and worked on a Ford auto assembly manufacturing line, I'd love to see some evidence of this. What features are you talking about? Because, having actually built seats for Ford, I know that they explicitly did not include heaters when they were not ordered. It was trivial to just not include the part; the assembly line was designed that way. You simply grabbed one cushion set vs another. Most auto manufacturers are actually concerned about margins and costs, so these things matter.
This is the history of how that happened.
In 2016 Tesla announced Model 3 and took a risk by pre-announcing that the price will start at $35.
In late 2017 they started making the cars and until early 2019 they were only making the more expensive Long Range trim at $50k+.
Sometime late 2018 / early 2019 they introduced a Medium Range trim, which was Long Range with smaller batter for $40-something k. This trim is no longer available (replaced by SR+)
Around march 2019, after hard-core cost-cutting, they introduced the base models as $35 SR (Standard Range) and $37.5 SR+ (Standard Range plus).
Compared to original plans SR/SR+ was better in that it included the panoramic glass sunroof.
The SR+ was available immediately but SR had a 4-6 month lead time, presumably so that Tesla can improve production / operational efficiency enough so that they can make SR trim at a profit.
According to Tesla, few people were ordering SR so they decided to scrap that trim. That makes sense because the fewer variants they have to make, the better they can optimize the production process and the cheaper it is to make the cars.
To fulfill those SR orders they decided to give people SR+ trim and limit features in software. It took them a while to implement those limits hence for a while people who ordered SR were able to drive SR+ without the limits.
This is not the end of story.
Soon after they decided to make $3k AutoPilot a standard feature and bumped the price by $2k.
After that they bumped the price by additional $400, presumably to offset the cost of Trump's tarrifs.
And that's where we are today.
Tesla just rolls with the punches. Making the cheapest version be a software-limited wasn't the original plan but it's a reasonable decision given how things progressed.
I think it's safe to say that at some point in the future Tesla will lower the price if their production capacity outstrips the supply and they manage to further improve operational efficiency.
(Yes they can give them away for charity if they want, but that is charity, not business)
For instance, if you order 3 croissants but the bakery puts 5 in your box and seals the box, and then you walk out the shop, what would you do if the bakery employee comes running down the street after you and demands you open the box and return the extra 2 croissants? Well this would never happen, the business would just write it off and let the customer have the two extra croissants.
The fact of the matter again is the people who bought the cars after this update will get exactly what they paid for. If they want the upgraded version they could have either bought it from the start, or they can still upgrade.
Looking at the comment section on the Electrek [1] version of this story it looks like the people who will be effected by this WERE TOLD when they got the car that this would be happening. So they knew they were getting these features for free for now and it would be taken away unless they paid for them (a free trial). They could have refused the car right there and waited if they wanted to but preferred to get the car early and enjoyed their free trial. It seems the only people complaining about this are people who aren't effected by it.
"I have a M3 SR, This change is not unexpected and I knew what I was buying... having the additional features for a little while wasn't a problem. I'm glad that they started selling the SR earlier than waiting for the software to be ready." - FS21 [2]
[1] https://electrek.co/2019/06/07/tesla-downgrading-model-3-sta...
[2] https://electrek.co/2019/06/07/tesla-downgrading-model-3-sta...
I get it if they are modifying it to remove something you paid for, but that is NOT the case here.
Absolutely yes. The problem is they are accessing and modifying something that they do not legally own (IANAL --- but the terminology they use when referring to paying and then being able to use a vehicle they made sounds very much not a rental or a lease), regardless of what that modification is.
To stretch the analogy, I would be just as pissed if GM decided to send someone to my house and replace the tires on my car with new ones, and I couldn't do anything to stop them.
Furthermore, the whole VW emissions thing shows what real ownership means --- they came up with an update to reduce emissions (and likely power or fuel economy...), and probably very strongly encouraged owners to get it, but ultimately if someone bought the car then they can't just go and "fix" it, even if they were found to be violating emissions laws, because they still need consent from the owner.
In Tesla's case, it sounds like the owner has no ability to say no.
Regardless, I find it very hard to believe that an update to remove features Tesla believes it hasn't been paid for will be anything but non-consensual.
Also look at my UPDATE post. It looks like this is 100% consensual. As I expected the people who were effected by this knew when they accepted delivery of the car that these features were a sort of free trial. They could have declined the car and waited until the the features were locked out but they accepted it knowing they were a free trial.
Model 3 updates are opt in.
In this narrow case though the ability to say no was at the time of contract signing and it was made super clear up front (i.e. not in fine print) what was going to happen.
The people affected by this update accepted it when they bought their car and were told they would be receiving these features temporarily for free, and were told they would be removed when the software was ready.
(Most customers of consumer electronics products have the same relationship with the makers thereof, and that's a big part of why practically everything with a screen is on some level regarded as disposable garbage.)
On the other hand, if you drive around in an old Honda like I do, the worst thing Honda can do to me is stop manufacturing replacement parts, most of which probably have third-party alternatives anyways.
"Sorry, but you only paid for 15mpg from your BMW".
Also I probably should point out that when the updates come out it is still up to the user, at least to some extent on whether they want to upgrade or not. I think it turns into a snooze game though but I know there were people that held out for years on software updates because they liked the old UX better. So you don't HAVE to update, its just pretty much universally preferred to upgrade.
That said you do have a good point on their return policy.
Test drives are a different beast altogether though. At least when I got my Tesla 4 years ago it wasn't common to test drive the same exact configuration you were ordering anyway since everything is custom built.
I guess for both of these items if they were to come up I'd hope Tesla would be generous, but I still see nothing wrong with them removing features people didn't pay for.
I've seen this happen with apps and SaaS services and I find it so annoying that I actively try to downgrade immediately where possible. Sadly this isn't always possible. Evaluation is subjective, and pain points are often only obvious once you run into them (i.e. passengers complain about cold seats).
>it wasn't common to test drive the same exact configuration you were ordering anyway since everything is custom built.
You're right that's common practice, not just for cars.
... and you can't downgrade anyway, because you're on a "old" plan that can't be changed to anything.
It's bad marketing.
Initially, SR was supposed to be a different physical trim, with a smaller battery and some other cheaper parts.
However few people were buying SR (compared to SR+ trim which was only $2.5k more expensive) so Tesla adapted and dropped SR variant. Less variants means more efficient production means cheaper cars.
But they've already taken SR orders so instead of canceling them they decided to do right by the customers and instead gave them SR+ trim with software limit.
Given that it was a decision made late, they didn't have the code to limit features. Again they did right by customers by giving them the car right away and introducing the limits when the software was ready.
This will not happen in the future because from now on the software limit will be enabled from the beginning (not to mention that this trim is not available online; you have to know it exists and custom order it via phone which probably means that very few people are buying this version).
Can't do anything about it now I guess but it still will and does look bad for those who are affected and those who will read the articles about it in the next days. It may even become a meme.
If I buy a traditional car that accidentally came with a premium feature, is the cardealer going to come to my house and rip the seat out?
These buyers were informed upon taking ownership that this was a trial. No mistake or accident happened.
They shouldn't have given it to the people in the first place.
I'm wondering if when the customers were handed the keys though if Tesla let them know about this "free trial" of sorts.
https://www.gnu.org/philosophy/right-to-read.en.html
There are some striking thematic parallels with the current state of automotive technology -- in particular Tesla.
Not sure what Tesla PR was thinking on this one, especially when the cost (but not opportunity cost) is $10 per month for the music. All I've got is that Tesla's looking between the cushions for cash.
The biggest downside would be having to take your car into wherever they'd remove the heated seats at. Being able to negate that inconvenience entirely with a software update brings me back to "oh man, that was nice while I had it. I guess I don't anymore."
If this perspective normalizes it's quite possible that we'll see cars that offer in-app upgrades / features on subscription as well. You could rent extended range for just your trips, and Tesla has already been known to temporarily enable it for everyone in the case of emergencies.
At the same time Tesla doesn't produce enough cars to make it worthwhile to make the production process that flexible. There are costs associated with having different parts to manage and streamlining your assembly line to handle it. Additionally you have to develop, test, produce these additional parts which also costs money. If they become one of the big car manufacturers at some point it will become worth it to specialize the hardware more. Right now software is easier and cheaper.
Heated seats disabled in software?!
"The car has detected someone sitting in the passenger seat, but you haven't paid for that option, so the car will refuse to move." or "the rear doors cannot be opened, because you've only paid for the front door." WTF.
Anyway, price differentiation without a hardware delta is how you meet your margin forecasts. Legitimate business strategy.
If you're going to do the sarcastic reply thing, at least make it insightful. Or funny.
Sometimes, sometimes not. What you are getting is a chip that passed more rigorous tests. That the lower end products have (or would have) failed those tests is not guaranteed. Companies can and do sell identical silicon as less capable products.
Intel at one stage dipped their toes in the water of what would be a close analogy; your chip comes with half of its cache software disabled, and you pay $50 to unlock it.
They stopped pretty quickly, but I don't think it was from the inevitable tech community backlash. It was that it economically made no sense at Intel's scale - the alternative was to fab a new line of chips with less cache to start with.
https://www.engadget.com/2010/09/18/intel-wants-to-charge-50...
There are cases where a higher spec product is sold as a lower spec in the CPU world, but there are no lasting situations where every single lower spec product could have been sold as higher.
For the analogy to fit, that would have to be the situation. It's not.
I'm not arguing that Tesla is doing anything wrong, just that you can't point to CPUs to justify it.
But it was a flawed argument, because CPU binning is not at all like Tesla software limiting battery packs. It's totally valid to be upset about one but not the other (personally I'm fine with both).
You coming up with any sort of theoretical scenario to continue the analogy doesn't counter my argument or boost theirs. We don't need help understanding what Tesla is doing.
I'm talking about making 1000 widgets at the same production cost and then making half of them worse (disabling a feature) and selling them cheaper - because it is cheaper to produce 1000 of the same widget than making 500 simple widgets and 500 more complex widgets and sell the complex widget at a premium, and in order to not let the cheap widget cannibalize the sales of the better one, it needs to be made worse after production. This has happened very rarely in the case of CPU's but it's not unheard of, and it's not the same as binning. It's a very valid and very real business strategy for other areas, where it is more common than for CPU's.
Edit: Perhaps a better example for CPU's is making a single CPU die in manufacturing but producing a more expensive enterprise/pro part and a cheaper consumer part, where the difference is disabling some feature (an instruction set extension for example) in microcode.
I would expect the positive EV (expected value) on the 'grandfather' option to be obvious, unless Tesla is really strapped for cash.
I don't think of Tesla being hard on cash, just that they are pouring every $ they have into expansion. They could just slow down and being profitable would be much easier.
Personally I'd slow growth and take out less loans, but they would slow down the transformation of the automobile industry from ICE to electric. It does seem to be working, with the competition continuing to claims "You can't make a competitive electric car", then "you can't make a competitive luxury sedan", then "you can't make a small sedan at a lower price point". Now pretty much the entire industry is chasing Tesla. Sure now there's some competition from Chevy (the bolt), Jaguar (the i-pace), Audi (e-tron), Mercedes, Porsche, and many others. None particularly competitive... yet.
Even if Tesla implodes tomorrow, they have pushed the market to an amazing degree. Personally I'm most impressed with the model 3 performance. Small, fun, fast, tons of storage room, very efficient, and often wins against a BMW M3, not just at 0-60 (a strong point of electric cars), but also on the track.
Electric cars get rid of pretty much all the compromises of a sports sedan. No loss of storage space with the transmission hump that divides the car in two. No increased friction and substantial weight increase for AWD. No huge hood to contain a large engine. No terrible gas mpg. Low center of gravity means no punishing suspension to try to keep the car from rolling in the corners. No loud noises from performance oriented tires, engines, and exhausts. Basically you can get a practical every day driver that matches the best BMW on the track.
Something about selling someone a car with all of the physical hardware required for something and then locking it out sometime after the sale using software seriously bothers me. Who owns the car, really? Is it Tesla or is it me?
Stupid move. They stand to gain almost no money from this.
I may be ignorant about Tesla's business practices if there's worse. I also own a Model S not a 3.
Instead, what happened is Tesla couldn't provide the configuration of cars that people wanted because it wasn't economical for them to do so. So instead they sent them another model of the vehicle with different hardware. It was a stop gap solution. It appears that many people were unaware either by their own lack of attention, or because they were mislead, or because Tesla didn't make it clear enough what was happening.
So:
1. Tesla offered to sell a product.
2. People bought the product.
3. Tesla realized it was not economical to sell the product.
4. Tesla decided not to manufacture the product that they offered.
5. Tesla gave the customers a different product in order to retain the sale rather than cancel the orders. (Even to the degree that the sales documentation refers to the product as SR+ and not SR.)
6. Months pass.
7. Tesla develops software that will after-the-fact modify the product that customers were provided.
Tesla is part and parcel of the problem here. This "it's not fair" rings hollow to me.
Instead they told users, we can sell you a better car today, but then at some point it will behave just like the car you ordered.
Seems less than idea, but seems like Tesla made the best of the situation.
The problem is they brought out two cars at $35k and $40k and tried to predict how many people would take both options. Turns out way more people took the nav, traffic, streaming audio, better range/battery etc. So much so that it wasn't worth making a custom car for the few people that bought the $35k model.
So instead of cancelling orders they decided to software limit the $35k car, and people got what they ordered with a bonus till the software got updated.
Because of the profit on options is sky high (often a few $$$ of materials can cost $1000s), it's getting increasingly common that a cars options can substantially increase the cost of a car.
Luxury cars have been feeding this cycle and it's actually refreshing that Tesla has so few options. BMW drove me crazy with an incredible and quite complicated system with numerous incompatibilities designed to upsell you. Things like the tires/wheels being linked to the steering wheel upgrade, which is linked to the performance seats, etc. What was maddening that features on lower end cars (like power lift gate, bluetooth, and decent headlights) are many $1,000s in a luxury vehicle. NHTSA recently blasted various luxury car makers for lousy headlights unless you upgraded to the $$$ version. Amusingly the top stock headlight they tested was from a Toyota Prius! Quite a few luxury cars were rated poor for headlights.
Similarly to other car markers, the Tesla model 3 base model has very low profit. But if you buy the higher models a large part of the price difference is profit. So the $35k Tesla only made sense if most buyers actually got the $40k model (or higher). So many picked the $40k model, that tesla decided to not make the $35k model and just software restricted the $35k model.
The rational part of your brain understands why, but I think some pretty fundamental loss aversion emotions kick in when a product you own is downgraded, even if you chose not to pay for the extra features.
Of course, that may be exactly what Tesla is banking on, considering you can just get your credit card out to get it back. I wouldn't be surprised if future SR models come with a one month trial even now the downgrade has been developed.
Parent has a point, IMO, and your reply doesn't really address it.
I’ve always disliked DLC and seeing it move into other areas turns me off.
Lots of people don’t mind this, but I think it’s unethical to ship hardware that is enabled by software that is forbidden for the owner to modify.
I get this kind of thinking and also realize that it prevents stupid greed from companies.
But at the same time it makes me think that this is why we can't have nice things. We're not just paying for the materials but also the business costs that go into making a product. If they can optimize by including something and enabling it by software then is that really so wrong?
I don’t know any car with an SDK, but most cars sold allow aftermarket software changes.
So is there really a tangible difference? I’d be surprised if Honda provided you with anything beyond what Tesla provides (ie nothing).
This is not possible in a Tesla because of the way they designed connectivity.
I’m not asking for an SDK and official support, I’m just asking for it to be allowed. Tesla actively prevents this, Honda doesn’t.
The alternative would have been waiting to ship these customers their new cars until the software was ready. Shipping it early with the explicit notice that eventually the software will arrive which will limit access properly is a win-win for everyone. Customers get their new car sooner, they get free access to a bunch of features they didn’t pay for, and the option to upgrade is always there if they do want it in the future.
Clearly these owners are getting a software upgrade, which is implementing new software checks to provide the correct functionality as ordered based on their SKU.
In my past company we also shipped features to customers without all the software limits enforced in firmware in order to get the build out to the field. I imagine it’s a fairly common practice, as we tend to code those features last, as nothing depends on them, and you can always ship without them when the sales guy is selling based on the price sheet, not whether the software actually implements the check. As long as customers don’t start to believe the check will never actually ship, the bug sat Unassigned.
I've seen that called "fake door" or "painted door" tests.
that is some pretty absurd spin
I understand what the headline is trying to say, but it's a total misnomer to call it a downgrade.
I think it’s interesting and newsworthy that Tesla shipped the cars initially without the limits. I don’t think it’s fair to present this as a downgrade.
What they actually did was give some customers something extra for free for several months.
This is one of the reasons I really don't like "software defined cars"... that you don't really own.
https://news.ycombinator.com/item?id=13925994
No one who hacks expects the manufacturer to help or even agree.
Besides they had a clear communication about the matter- it's not as if the customers had the rug pulled off their feet. They have been informed well in advance.
In your hypothetical, you had a choice between buying a printer with unlimited concurrent printing and a cheaper printer that only prints 5 pages at a time.
You did your homework and decided to buy the cheaper one.
Where's the un-ethical part?
It just seems scummy to sell the same hardware to people at different price-points and enable/disable functionality purely in software - because the hardware is yours - you paid for it - the only reason you can’t use it to it’s fullest extent is a bunch of bits in a flash chip inside your car. The fact it was willingly sold to you at a lower means it’s very likely anything else paid on-top is just pure-profit. It’s difficult to morally justify withholding heated seats to a buyer (esp. one in a cold climate) simply because they didn’t give you more profit even though you willingly sold them the hardware capable of doing that.
It’s just about disrespecting the customer, plain and simple.
This is exactly right.
To flip the “you got what you paid for” argument on its head, the manufacturer willingly sold me this hardware at the agreed-upon price and shouldn’t complain if I enable “extra” functionality using non-manufacturer-approves means. Unfortunately, companies that engage in this business practice want it both ways.
A car owner discovered the "existence" of the 3 by poking around in the firmware.
Tesla's response was to 1) downgrade his firmware to a version that had no reference to the 3, 2) disable future firmware updates for that vehicle, and 3) for a final fuck-you, disabled his vehicle's Ethernet port, too.
If you have technical chops to do it, are irresponsible enough to patch complex software that controls a death machine and willing to accept that you're voiding your warranty, then go for it.
But don't call hacking software a "repair" or a free speech issue.
You want stuff but don't want to pay for it. Greed is all there is to it.
You've completely switched your argument to what happened when instructions were posted about removing software imposed limits on a printer, not what happened (or might happen) in a similar situation with Tesla. Printers do not carry human occupants on a public road system which is heavily regulated and requires certification of vehicles for roadworthiness & safety, including regulation of owner made vehicle modifications.
Which leaves us with just "it's better for the company (more profit)".
The cheaper Tesla wouldn't be possible with these kinds of cost optimizations.
The alternative in this situation isn't an ICE, it's the non-limited Tesla.
And in your argument, those other drivers should be pissed off, because you're saying they're getting worse value for money with less lifetime, for more cost.
At $30k it's the limited tesla (with rebate) or an ICE.
Both the limited and unlimited tesla owners get a benefit. Higher volumes and more cars to amortize R&D over.
I don't get your point though. The limited range version still gets the promised range, even though the car is heavier.
The unlimited range car gets more for the money because tesla can sell a higher volume of cars, which makes it possible for tesla to sell at such low price points.
EDIT: FWIW, there is a metric ton of software and firmware that is crucial to achieve the advertised range. So if it makes you feel better you can think of it as not the mechanical product operating differently, just the software product.
I think what rubs people the wrong was is that _most people_ would assume there is a higher capacity battery in the extended range version as compared to the standard range version. That's the expensive part here, the battery. It would make sense to have to spend more money to get a bigger battery. But to find out that both models have the same battery and there's just a damn software lock differentiating the two? Come on.
You should gladly by this product thats artificially limited since the cost to enable that new feature is theoretically lower and faster with less chance of things going wrong. They are able to offer you a better product with more price points by engaging in software-gating. If they did not do this it would be difficult to maintain so many different SKU's and youd wait longer to get your car. Servicing it would be more work and youd be less satisfied.
Most inject printers have exactly that. There's a chip on the ink cartridge which tells the printer how much it can print, the printer then decrements it as prints occur until it reaches 0.
Often ink cartridges will be 1/3 full and refuse to print because they're "empty." You used to be able to bypass this by blocking a contact point on the chip, but no longer.
All that is partly why I drive a car without any software control --- it's not really environmentally friendly, but I enjoy knowing that there's no "hidden gremlin" that will disobey me, no DMCA-ish laws to worry about, and the freedom of having complete ownership. ...and I consider the power/torque, (real) sound, and cheap parts to be a side-benefit.
Otherwise it would just be the vehicle's normal driving range.
The limits used to be lower - I seem to remember laughing out loud at a Stack Overflow podcast, where they talked about having to purchase a new Windows license to be able to expand the RAM of a server.
Occasionally we see software about John Derre and how they use software to limit what can be done to their tractors. We all agree and talk about how evil that is. Tesla doing the same thing is pure evil.
Edit: there's a clause in the act that says once the buyer owns the product, they own the product. I believe that this change would breach that clause. I believe that the Model 3 has not yet shipped - so this isn't a retroactive downgrade, and the act might not apply.
If that is the case for NZ Teslas, a cute hack would be to trick the car to think it is in New Zealand. Calling the Ukrainian hackers... (https://www.vice.com/en_us/article/xykkkd/why-american-farme...)
But paying someone to unlock physical functionality of a device which you own… that feels like crossing the line toed by IBM's practice (and that of others mentioned in comments such as Intel).
I do understand if an engine is throttled to increase its life time. Apple does it with the cpus in their computers. But just omitting a feature for the sake of selling it additionally is a ridiculous business practice nobody should support.
Basically change the car's version from being a M3 SR to M3 SR+
If they want to sell lower-range cars they should just load them with smaller batteries, and have the upgrade be the battery pack, not the software.
Gas cars don't do that. Whatever gas you put in, you can use. These kind of shenanigans only make people love gas cars more, which is honestly not in Tesla's best interest if they want to increase adoption.
Software upgrades should only provide better software, not unlock precious resources that would otherwise be wasted.
Also, writing software to deliberately cripple hardware is counterproductive to advancement of technology. It also highly incentivizes people to reverse engineer your system, hack your system, unsubscribe themselves from updates, and IMO they have every right to do so. It would be in your best interest to NOT incentivize this type of behavior. If I buy 5 batteries from you, you have no right to walk into my house, install a safe, and lock up 1 of them for a ransom, which is exactly what they are doing. It's childish at best and unethical at worst. If you did that, I will destroy the safe and recover the 5th battery. It's my property that I purchased and I have the right to use it.
So if Tesla gives they same batteries to everyone, nobody will pay more for larger batteries, Tesla has less money, and loses one of the justifications for different model prices. As a result Tesla growth and spending on R&D would have to drop.
Additionally the "unused" sells are used, very useful in fact. The lower load per cell generates less heat when charging or discharging. The lower heat keeps the batteries happier. The lower load per cell means the batteries last longer. So the 200 mile range drivers paid for 200 miles range, but will get better battery life than if they had gotten an actual physical 200 mile battery.
By similar logic, should every Tesla customer get "free" full self driving because every Tesla ships with the hardware? Should every windows box get all commercial software for free, because they have the hardware required to run it?
It’s no different to software providing both free and premium versions in the same binary. What are you paying for? Not the number of bytes.. the R&D hours behind it.
So for the battery, what are you actually paying for? Not the physical battery, but the capital they had to put into designing the system - a system they designed and determined was cheaper to produce at mass with a standard battery layout and configuration (hence the same voltage range, fuses, battery discharge profile etc)
Now if you start messing around with the battery layout then suddenly all your hundreds of sensors, fuses, etc need the ability to achieve remapping and you have to do independent testing, charge profiling etc on the new design.. possibly even design new inverters if you have to change the maximum voltage. So their approach ends up being basic subtraction and scaling on the state of charge. This can be implemented in literally an hour vs. many months and supply chain headache involving hundreds of new PNs.
Disclaimer; I design power systems for a Tesla ‘rival’ kinda.
I think the reason people tolerate this arrangement with software is that they are not actually buying ownership of the IP that this R&D capitalizes; they're buying a license to use that IP.
Here, they're purchasing ownership of an actual car. Tesla is actively denying them full use of something that they own.
It's also my freedom to decide how my CPU runs code, including whether or not it listens to certain instructions within the binary. I can build a custom CPU even.
Paid software should work like this:
- I pay you to tell me a "secret" long binary string that you have spent hours and hours of R&D on
- In return for payment, you tell me that binary string that does something useful
- I can do whatever I want with that binary string within my private space, except tell other people about it
Hence, if there are "features" you don't want me to access for what I paid you, they should not be encoded anywhere in the binary you provide me.
I drove a rental model s once, and it had the autopilot features turned on like navigate on autopilot, but there was a warning "Trial period ends in 23 days" or something like that.
Tesla sold those cars before they finished the software that enforces the limits.
From now on this will be in the car from the beginning.
"Your Model 3 will soon receive new software that matches the Model 3 Standard Range configuration you ordered. As we communicated in April, this includes a limited range of 220 miles, and the removal of several software features. To continue experiencing the extended range, faster acceleration and Autopilot features of Model Standard Range Plus, schedule a service appointment through your Tesla app."