Tesla reports 1.74 million FSD users, but definition favors pay package
The automaker counts one-time buyers as active subscribers to align with its CEO's compensation metrics, a method that obscures how many drivers actually pay the monthly fee.
By Khalid Rahman ·
Tesla has announced that it currently supports 1.74 million active Full Self-Driving subscriptions. This figure represents a 67% increase compared to the same period last year. The company detailed this metric in its third-quarter 2026 shareholder letter. The definition used here is specific. It aligns with the 2025 CEO Performance Award structure. This approach includes both upfront payments and monthly subscriptions in the total count.
The first key point concerns how Tesla defines an active user. Owners who purchased the software outright, often at prices up to $15,000, are included in the 1.74 million total. Tesla stopped selling the software as a one-time purchase in February 2026. New customers now pay $99 monthly in the United States. However, previous buyers remain in the active count as long as their vehicles are operational. Free trials are the only category excluded from this number.
The second key point highlights a transparency gap. Tesla has not disclosed how many of these 1.74 million users are paying the monthly fee. This distinction matters because the 10 million active subscription milestone is a requirement for Elon Musk to earn parts of his compensation package. The company reported 1.28 million active users in April. The jump to 1.74 million in six months suggests strong growth, yet the breakdown between paying subscribers and legacy owners remains unclear.
The third key point involves the attach rate for new vehicles. Tesla states that more than 75% of new North American deliveries included FSD subscriptions in the third quarter. This is a nearly 20 percentage point increase from the previous quarter. The company believes the software is driving demand in available markets. However, the letter does not define whether this includes introductory offers or how many buyers continue paying after a few months.
Context from the shareholder letter shows that Tesla uses similar counting methods for other metrics. The cumulative deliveries figure of 10.2 million includes unsupervised robotaxis placed in commercial operation. This matches another milestone in the CEO's award. As of June 30, Tesla considered only the 20 million vehicle delivery milestone probable. The award includes 12 tranches with various operational and market cap requirements. These include 1 million Optimus robots and 1 million robotaxis.
Looking ahead, Tesla added 260,000 net FSD subscriptions in the third quarter. This is its best quarter to date. At this pace, reaching 10 million would take about eight years. If the company maintains the average growth of the last 12 months, it could take nearly 12 years. The compensation award is valid until 2035. The board has established this definition, and the company has not yet clarified how many drivers are currently paying the $99 monthly fee.
Source: Electrek
