“I would have a hard time paying to unlock hardware that I know is in the car,” its CTO said during a roundtable.
Car companies want to make more recurring revenue by offering subscription services, but consumers have pushed back on pay-per-month features. BMW pushed things too far when it offered a subscription to heated seats, using hardware that was already installed in the car. Volvo recognizes that consumers are more willing to subscribe to functions that require ongoing costs and provide ongoing benefits. Volvo knows that consumers hate endless subscription services.
Rivian offers a software-locked battery, too, and recently moved Spotify and Tidal streaming—previously free as long as you had the service itself—behind a paywall. Apple Music is behind the paywall, too, which means that if you want to use anything beyond bluetooth audio for streaming, you have to subscribe to Rivian Connect+. That costs $14.
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