tesla cuts traditional fm radio on base model 3Tesla is pushing its cost-cutting efforts a step further by quietly stripping terrestrial radio tuners out of its most affordable electric vehicles.The move first made waves in the U.S. when Tesla introduced a stripped-back Model 3 Standard trim in late 2025, ditching traditional AM and FM radio capability to shave about $5,500 off the Premium trim's sticker price. Now, that radio-less strategy is going global, with the base Model 3 in Australia officially losing its built-in FM and digital DAB+ tuners.tesla cuts traditional fm radio on base model 3Shaving Pennies at the FactoryOmitting AM radio from electric vehicles isn't entirely new. Automakers have long complained that high-voltage EV powertrains cause electromagnetic interference with AM signals. Mitigating that noise requires extra shielding and filtering, which adds an estimated $50 to $70 in manufacturing costs per vehicle.Related VideoHowever, chopping out FM and digital radio is a much more aggressive trim choice. On the Australian-spec Model 3 RWD, dropping the terrestrial tuner helps Tesla achieve a starting price of A$45,900 (roughly $31,800 USD)-making it A$9,000 cheaper than the Premium trim that retains traditional radio hardware.Instead of picking up over-the-air broadcasts through an antenna, drivers of the base Model 3 are forced to rely entirely on Bluetooth streaming or built-in internet radio apps like TuneIn. That means listening to local news or music streams requires a working cellular connection and an active data plan.tesla cuts traditional fm radio on base model 3Affordability Takes Priority in a Post-Subsidy EraThe push to strip non-essential cabin hardware comes at a pivotal time for EV sales. Following the expiration of the $7,500 U.S. federal EV tax credit, overall electric vehicle demand has cooled significantly across North America, forcing manufacturers to find creative ways to bring sticker prices down.While Tesla is pulling features out of existing platforms to reach lower price points, rivals are racing to build all-new budget EVs from the ground up. Ford is preparing its sub-$30,000 Fathom electric pickup for 2027, while Slate Auto recently revealed a $24,950 electric truck aimed squarely at cost-conscious buyers.As automakers navigate high interest rates and shifting consumer demand toward hybrids, Tesla's disappearing radio tuner serves as a clear indicator of how far EV builders will go to drop entry-level price tags.Become an AutoGuide insider. Get the latest from the automotive world first by subscribing to our newsletter.