Tesla has announced the launch of more affordable "Standard" trims for its popular Model 3 and Model Y electric vehicles, priced at $36,990 and $39,990, respectively. These models represent a $5,000 price cut compared to previous entry-level variants, aiming to broaden accessibility amid intensifying EV competition.
However, to achieve this, Tesla made several compromises, including the complete removal of built-in AM and FM radio tuners from the infotainment system.
This marks the first time a major automaker has eliminated over-the-air broadcast radio entirely from its vehicles, building on Tesla's earlier phase-out of AM radio starting in 2020 due to interference issues with EV powertrains.
Background: Tesla began dropping AM tuners across its lineup, citing electromagnetic interference from high-voltage EV components that disrupts lower-frequency AM signals. This affected models like the Model S and Model X, and was echoed by other EV makers (e.g., BMW, Ford, Volvo). In 2020, Tesla even offered a $2,500 infotainment upgrade that removed AM/FM/SiriusXM entirely, later adding a $500 option to restore FM and satellite radio (but not AM).
FM Radio Cut (2025): The new Standard trims go further by omitting FM tuners as well, leaving no terrestrial radio capability. Higher-end trims (e.g., Long Range or Performance) retain premium connectivity options, including internet streaming, but the base models prioritize cost savings over traditional features.
While AM cuts are common in EVs (e.g., Porsche, Rivian, Volkswagen), FM remains standard in nearly all vehicles.
A 2024 Xperi survey found 62% of U.S. drivers wouldn't buy a car without AM/FM, and all 100 top-selling models include FM. Tesla's move positions it as a pioneer in ditching broadcast radio, potentially influencing others.

