Remember BMW’s subscription seat heater scandal? You’d be forgiven for letting it slip your mind; after all, there’s been more than enough rage bait (automotive and otherwise) to go around in recent years. The short version is this: Both manufacturers and dealers are all about making money on their cars long after the initial sale. Traditionally, that revenue has largely come from maintenance, but since EVs don’t require as much upkeep as internal-combustion cars, the future of that model is in jeopardy. Need proof? Look no further than Tesla, which just paywalled previously standard features behind a new FSD subscription.
But while BMW ultimately backed down over heated seats, the company still believes in the features-as-a-service model, and will continue to offer post-purchase upgrades through its ConnectedDrive platform.
“BMW remains fully committed to the ConnectedDrive environment as an essential part of the global BMW Aftersales strategy,” a BMW spokesperson told The Drive in an emailed statement.
“With these established digital offerings, we offer our customers even more comfort and flexibility in line with their individual wishes after they purchase a vehicle,” the spokesperson said. “This allows customers to opt for additional functions and services retroactively.”
As Tesla has demonstrated, not all post-purchase add-ons have to be subscriptions. The company has offered several of its software-based feature upgrades as one-time purchases through its internal platform. Only recently has the EV builder begun pivoting toward a subscription-only model.
For now, BMW is defaulting to a more traditional approach. If it requires a data package of some sort, it will probably have a recurring fee—and BMW says its customers are already comfortable subscribing to such add-ons.
BMW and Tesla certainly aren’t alone in this. Most semi-autonomous driving software comes with some sort of subscription—often after a trial period—and there’s precedent for subscription add-ons going back much farther than the EV era. GM has been charging membership fees for OnStar services since the mid-1990s, when cellular service coverage was finally sufficient to support the company’s roadside assistance program. We’ve also seen countless app- and infotainment-based “concierge” services come and go over the years.
However you look at it, subscriptions are here to stay—and not just at BMW.
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