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wizard467

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Anyone who thinks Rivian's "membership" was a differentiating factor, looks like the rest of the world sees a revenue stream in software/updates:

https://www.cnbc.com/2021/12/07/ste...-billion-in-new-software-revenue-by-2030.html
This is continuing to happen across all industries as tech gets "good enough" that people stop feeling like there is a significant reason to buy the newest version of a widget. A company now needs to get continued income after their market is saturated. Subscriptions are one of the easiest ways do this. It also provides a way to pay for the ongoing upgrades to all of the software that is controlling the systems.
 

Max

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Sometimes I feel like it takes a stupid person to buy a smart device. They often cost more, don’t last as long and tell you what to do instead of the other way around.
 

Aroohoo

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The only good thing about the subscription model is that there is at least now a chance to get an update to the crappy Minimum Viable Product that just rolled out ;)
 

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The only good thing about the subscription model is that there is at least now a chance to get an update to the crappy Minimum Viable Product that just rolled out ;)
Lol, driving an ID4, emphasis on ‘chance’. I enjoy this car but software is the worst part about it, and we haven’t seen an update yet despite VW marketing OTA updates.
 

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OEVA

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Adding features via subscription is very likely an approach that at least some manufacturers will take to keep the MSRP below cap levels for the Tax Credit (if there are any passed by Congress).

"Want adjustable suspension, multiple drive modes and adaptive cruise? That will be $xxx per month or $xxxxx for a lifetime subscription."
 

Monkey

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Will be interesting to see what comes with regular updates vs. subscription services. I'm hoping they adopt a model like Tesla where the updates are continuously evolving and always free. What you pay for with Tesla is the enhanced connectivity and add-on services like traffic data and media streaming. Likewise the full self driving can be purchased for one large fee (currently $10K) or a monthly subscription. We have FSD on our Model Y, paid $4K for it by pre-ordering long ago and timing certain things right. Maybe I'll trust it enough some day to really use it other than playing with it here and there. No way I would pay the current $10K price tag until it's operating capably. The monthly subscription is a nice option for those who want to watch its development and then jump in and test it when they think it might offer some value.
 
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yizzung

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Lol, driving an ID4, emphasis on ‘chance’. I enjoy this car but software is the worst part about it, and we haven’t seen an update yet despite VW marketing OTA updates.
You never buy a German car for the electronics. They do mechanical engineering.
 

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Microsoft figured this out looooooong ago with Office, Netflix with videos, iTunes with music, etc...

Subscriptions = Guaranteed revenue stream, that over the life of the sub will often times return many times over a purchase.
 

Max

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Microsoft figured this out looooooong ago with Office, Netflix with videos, iTunes with music, etc...

Subscriptions = Guaranteed revenue stream, that over the life of the sub will often times return many times over a purchase.
What boggles the mind is that people pay monthly subscription fees for Photoshop when GIMP is free. It will be interesting to see what is in the plan and how this plays out over time. All I need is transparency on what I have control over and what I don't before signing on the dotted line. Regulatory agencies will be way behind this as creepy practices creep in. Amazon was the first online business I trusted and now I have to watch them like a hawk.
 

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ironpig

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What boggles the mind is that people pay monthly subscription fees for Photoshop when GIMP is free. It will be interesting to see what is in the plan and how this plays out over time. All I need is transparency on what I have control over and what I don't before signing on the dotted line. Regulatory agencies will be way behind this as creepy practices creep in. Amazon was the first online business I trusted and now I have to watch them like a hawk.
I'm one of those suckers who has to pay Adobe a subscription fee every month. But I need to use Photoshop, Premiere and After Effects for work. It's all tax deductible, but it's really annoying. I am not looking forward to having to pay subscription fees in all my cars but I know it's coming.
 
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Max

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I'm one of those suckers who has to pay Adobe a subscription fee every month. But I need to use Photoshop, Premiere and After Effects for work. It's all tax deductible, but it's really annoying. I am not looking forward to having to pay subscription fees in all my cars but I know it's coming.
Buy low tech while you can
 

ironpig

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Buy low tech while you can
yeah. I have to admit, every year I've owned my Tesla since 2014 I've expected them to implement a subscription plan for updates and they haven't yet. But I assume they will go the way at some point.
 

Zoidz

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What boggles the mind is that people pay monthly subscription fees for Photoshop when GIMP is free.
I've used both, and pay for Photoshop. It's not mind boggling at all. There's functionality needed by tons of professional users in Photoshop that is not in GIMP. There are tools in Photoshop that make it a one step process to achieve an effect, where in GIMP you have to do 3,4,5 or more steps to achieve the same effect, and hope it does not crash. Time is money. Try doing CMYK in GIMP - it's a mess.
 

the long way downunder

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ICE makers are jealous and greedy. They've finally realized Tesla, BYD and others are a real threat to their market and their existence. They're apparently all going the way of Tesla: the EV owner is their food source, not their customer.

The "old" ICE model was to sell a machine that needed recurring maintenance, repair and consumables with business for finance, insurance, upgrades, etc. The "new" EV model is to sell an obsolescent machine, sell electricity, rent software functions instead of selling hardware, as well as the "bread and butter" of usury, racketeering and extortion (finance, insurance, upgrades.)

VW and others seem to think they can go to a "subscription model" (as the tech industry did last century) with projections of billions in revenue from recurring gouges and grifts.
Instead of selling a material product of value once, they keep charging for "services" every month/year, then charge to fix bugs, then charge to keep up with the way tech is never quite good enough, hardware is just a bit slow, batteries not quite strong enough.

Tesla has been gouging and grifting like this for years and they're a trillion dollar success based on no actual hard numbers, always the expectation that in the future, they'll make a killing. Spoiler: you and me are the prey to be killed…

Corporations see "cars become like phones" as a goal and aspiration of exponential revenues.
People should oppose the relentless government-sanctioned rackets that create these trillion dollar predators.

I've really enjoyed some of my cars over the years, but I've never given a hoot about a damn phone … fun gadgets to be sure … impressive leaps and bounds in features and functions … but phones are the drug of the insatiable status-victim consumer materialists … cars are toys and tools and infamously "the second most expensive consumer purchase after the home" … it's one thing to fritter away cash on a phone, entirely another order of magnitude to be herded into being the cattle of the EV industry.
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