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In July 2022 [[BMW]] started charging a subscription for their heated seats as part of their Functions on Demand system.<ref>https://www.bmwusa.com/explore/connecteddrive.html</ref> In September 2023 BMW stated they are no longer charging a subscription for heated seats.<ref>https://www.autocar.co.uk/car-news/new-cars/bmw-will-not-charge-extra-activate-existing-functions-cars#:~:text=What%20we%20don%E2%80%99t%20do%20any%20more</ref>
{{IncidentCargo
 
|Company=BMW
==Background==
|StartDate=2022-07
Heated seats first appeared in cars in 1966. However, it wouldn't be until 1972 that some cars would come with heated seats as standard, with others charging for optional packages to include them.<ref>https://www.drive.com.au/caradvice/how-do-heated-seats-in-cars-work/</ref>  
|EndDate=
 
|Status=
|ProductLine=
|Product=
|ArticleType=
|Type=Rent-seeking
|Description=
}}
In July 2022, [[BMW]] started charging a subscription for their heated seats as part of their Functions on Demand system.<ref>{{Cite web |title=BMW ConnectedDrive seamlessly integrates your mobile devices, smart home technology, and your vehicle's intelligent interfaces into a complete driver's environment. |url=https://www.bmwusa.com/explore/connecteddrive.html |url-status=live |access-date=1 Apr 2025 |website=[[BMW]] |archive-url=http://web.archive.org/web/20260201092620/https://www.bmwusa.com/explore/connecteddrive.html |archive-date=1 Feb 2026}}</ref> BMW's "Functions on Demand" system operates on a user opt-in/out subscription to enable various functions inside their vehicles. In September 2023, BMW stated that they are no longer charging a subscription for heated seats.<ref>{{Cite web |last=Attwood |first=James |date=7 Sep 2023 |title=BMW will not charge extra to activate existing functions in cars |url=https://www.autocar.co.uk/car-news/new-cars/bmw-will-not-charge-extra-activate-existing-functions-cars#:~:text=What%20we%20don%E2%80%99t%20do%20any%20more |url-status=live |access-date=1 Apr 2025 |website=AutoCar |archive-url=http://web.archive.org/web/20260206183512/https://www.autocar.co.uk/car-news/new-cars/bmw-will-not-charge-extra-activate-existing-functions-cars |archive-date=6 Feb 2026}}</ref>
==Heated seat subscription==
==Heated seat subscription==
[[File:Bmw-heated-seats-subscription.jpg|thumb|370x370px|South Korean heated seat subscription pricing. Photo by motor1.com taken from BMW South Korea.<ref>https://www.motor1.com/news/597376/bmw-heated-seats-subscription/</ref>]]
[[File:BMW heated seats subscription.jpg|thumb|370x370px|South Korean heated seat subscription pricing. Photo by motor1.com taken from BMW South Korea.<ref name=":1">{{Cite web |last=Padeanu |first=Adrian |date=11 Jul 2022 |title=BMW Heated Seats Subscription Is Real And It Costs $18 Per Month |url=https://www.motor1.com/news/597376/bmw-heated-seats-subscription/ |url-status=live |access-date=1 Apr 2025 |website=Motor1 |archive-url=http://web.archive.org/web/20250211153024/https://www.motor1.com/news/597376/bmw-heated-seats-subscription/ |archive-date=11 Feb 2025}}</ref>]]
BMW stated that around 90% of customers would order the optional heated seat package<ref name=":0">[https://www.motor1.com/news/598281/bmw-usa-heated-seat-subscription-if-option-chosen/#:~:text=As%20premium%20vehicle,ConnectedDrive%20store%20online. https://www.motor1.com/news/598281/bmw-usa-heated-seat-subscription-if-option-chosen/#:~:text=As%20premium%20vehicle,ConnectedDrive%20store%20online.]</ref>. In order to streamline their factories, they started installing heated seats in all vehicles. Ordinarily the costs saved by streamlining factories would be passed on to customers with lower vehicle pricing, or by offering advanced features at a more competitive price. However, BMW's approach is to continuing charging for such features, using recurring fees rather than a one-time purchase.
BMW stated that around 90% of customers would order the optional heated seat package.<ref name=":0">{{Cite web |last=Smith |first=Christopher |date=14 Jul 2022 |title=BMW USA Won't Have Heated Seat Subscription If Option Is Already Chosen |url=https://www.motor1.com/news/598281/bmw-usa-heated-seat-subscription-if-option-chosen/#:~:text=As%20premium%20vehicle,ConnectedDrive%20store%20online. |url-status=live |access-date=1 Apr 2025 |website=Motor1 |archive-url=http://web.archive.org/web/20240804122818/https://www.motor1.com/news/598281/bmw-usa-heated-seat-subscription-if-option-chosen/ |archive-date=4 Aug 2024}}</ref> In order to streamline their factories, they started installing heated seats in all vehicles. Ordinarily, the costs saved by streamlining factories would be passed on to customers with lower vehicle pricing, or by offering advanced features at a more competitive price. However, BMW's approach is to continuously charge customers for such features, using recurring fees rather than a one-time purchase.


BMW started testing the waters with their heated seat subscription in South Korea. South Korean's monthly pricing is ₩24,000, using the 2022 currency conversion to USD this works out to approximately<ref name=":1">https://www.motor1.com/news/597376/bmw-heated-seats-subscription/</ref>:
BMW started testing the waters with their heated seat subscription in South Korea. South Koreans' monthly pricing is ₩24,000. Using the 2022 currency conversion to USD, this works out to approximately:<ref name=":1" />


*$18/mo
*$18/mo
Line 15: Line 22:
*$406 for unlimited use
*$406 for unlimited use


A similar subscription is offered for heated steering wheels, with costs at<ref name=":1" />:
A similar subscription is offered for heated steering wheels, with costs at:<ref name=":1" />


*$10/mo
*$10/mo
Line 22: Line 29:
*$222 for unlimited use
*$222 for unlimited use


== Legal impact ==
==Legal impact==
Introduced September 2022 New Jersey's Assembly proposed a bill to make it illegal for automobile manufacturers to offer subscription services for any motor vehicle feature that<ref>https://legiscan.com/NJ/text/A4519/2022</ref>:
Introduced in September 2022, New Jersey's Assembly proposed a bill to make it illegal for automobile manufacturers to offer subscription services for any motor vehicle feature that:<ref>{{Cite web |title=Bill Text: NJ A4519 {{!}} 2022-2023 {{!}} Regular Session {{!}} Introduced |url=https://legiscan.com/NJ/text/A4519/2022 |url-status=live |archive-url=https://archive.ph/cOugj#selection-125.0-125.62 |archive-date=29 Oct 2022 |website=[[LegiScan]]}}</ref>


# utilizes components and hardware already installed on the motor vehicle at the time of purchase or lease by the consumer; and
*Utilises components and hardware already installed on the motor vehicle at the time of purchase or lease by the consumer; and
# would function after activation without ongoing expense to the dealer, manufacturer, or any third-party service provider.
*Would function after activation without ongoing expense to the dealer, manufacturer, or any third-party service provider.


The bill later died in committee.<ref>https://legiscan.com/NJ/bill/S3271/2022#:~:text=2022%20%2D%2025%25%20progression%2C-,died%20in%20committee,-Action%3A%202022%2D10</ref>
The bill later died in committee.<ref>{{Cite web |title=New Jersey Senate Bill 3271 (Prior Session Legislation) |url=https://legiscan.com/NJ/bill/S3271/2022 |url-status=live |archive-url=https://web.archive.org/web/20241012163815/https://legiscan.com/NJ/bill/S3271/2022 |archive-date=2024-10-12 |website=[[LegiScan]]}}</ref>


==Consumer response==
==Consumer response==
Many BMW owners found it unacceptable to pay a subscription for a feature that was physically present in their vehicles. A common feeling between consumers was that they were being "charged twice for something they already owned". There were also concerns over privacy and security, as the vehicles are connected to the internet and can be controlled by the manufacturer. This lead to questions about data privacy and potential intrusions.<ref name=":2">https://thesun.my/motoring-news/bmw-drops-heated-seats-subscription-due-to-customer-backlash-JD11478313</ref>
Many BMW owners found it unacceptable to pay a subscription for a feature that was physically present in their vehicles. A common feeling between consumers was that they were being "charged twice for something they already owned". There were also concerns over privacy and security, as the vehicles are connected to the internet and can be controlled by the manufacturer. This led to questions about data privacy and potential intrusions.<ref name=":2">{{Cite web |last=Prakash |first=Timothy |date=11 Sep 2023 |title=BMW Drops Heated Seats Subscription Due To Customer Backlash |url=https://thesun.my/motoring-news/bmw-drops-heated-seats-subscription-due-to-customer-backlash-JD11478313 |url-status=live |access-date=1 Apr 2025 |website=The Sun |archive-url=http://web.archive.org/web/20250804165049/https://thesun.my/motoring-news/bmw-drops-heated-seats-subscription-due-to-customer-backlash-JD11478313 |archive-date=4 Aug 2025}}</ref>


==BMW's response==
==BMW's response==
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==References==
==References==
{{reflist}}
{{reflist}}
[[Category:BMW]]
[[Category:2022 incidents]]

Latest revision as of 15:43, 30 March 2026

In July 2022, BMW started charging a subscription for their heated seats as part of their Functions on Demand system.[1] BMW's "Functions on Demand" system operates on a user opt-in/out subscription to enable various functions inside their vehicles. In September 2023, BMW stated that they are no longer charging a subscription for heated seats.[2]

Heated seat subscription

[edit | edit source]
South Korean heated seat subscription pricing. Photo by motor1.com taken from BMW South Korea.[3]

BMW stated that around 90% of customers would order the optional heated seat package.[4] In order to streamline their factories, they started installing heated seats in all vehicles. Ordinarily, the costs saved by streamlining factories would be passed on to customers with lower vehicle pricing, or by offering advanced features at a more competitive price. However, BMW's approach is to continuously charge customers for such features, using recurring fees rather than a one-time purchase.

BMW started testing the waters with their heated seat subscription in South Korea. South Koreans' monthly pricing is ₩24,000. Using the 2022 currency conversion to USD, this works out to approximately:[3]

  • $18/mo
  • $176/yr
  • $283/3yr
  • $406 for unlimited use

A similar subscription is offered for heated steering wheels, with costs at:[3]

  • $10/mo
  • $92/yr
  • $161/3yr
  • $222 for unlimited use
[edit | edit source]

Introduced in September 2022, New Jersey's Assembly proposed a bill to make it illegal for automobile manufacturers to offer subscription services for any motor vehicle feature that:[5]

  • Utilises components and hardware already installed on the motor vehicle at the time of purchase or lease by the consumer; and
  • Would function after activation without ongoing expense to the dealer, manufacturer, or any third-party service provider.

The bill later died in committee.[6]

Consumer response

[edit | edit source]

Many BMW owners found it unacceptable to pay a subscription for a feature that was physically present in their vehicles. A common feeling between consumers was that they were being "charged twice for something they already owned". There were also concerns over privacy and security, as the vehicles are connected to the internet and can be controlled by the manufacturer. This led to questions about data privacy and potential intrusions.[7]

BMW's response

[edit | edit source]

In September 2023, following severe consumer backlash, BMW suspended their heated seat subscription model. However, they still plan to look to explore other options regarding their Functions on Demand system.[7] Some of these other options include dashcams and remote start functions, according to a BMW statement.[4]

References

[edit | edit source]
  1. "BMW ConnectedDrive seamlessly integrates your mobile devices, smart home technology, and your vehicle's intelligent interfaces into a complete driver's environment". BMW. Archived from the original on 1 Feb 2026. Retrieved 1 Apr 2025.
  2. Attwood, James (7 Sep 2023). "BMW will not charge extra to activate existing functions in cars". AutoCar. Archived from the original on 6 Feb 2026. Retrieved 1 Apr 2025.
  3. 3.0 3.1 3.2 Padeanu, Adrian (11 Jul 2022). "BMW Heated Seats Subscription Is Real And It Costs $18 Per Month". Motor1. Archived from the original on 11 Feb 2025. Retrieved 1 Apr 2025.
  4. 4.0 4.1 Smith, Christopher (14 Jul 2022). "BMW USA Won't Have Heated Seat Subscription If Option Is Already Chosen". Motor1. Archived from the original on 4 Aug 2024. Retrieved 1 Apr 2025.
  5. "Bill Text: NJ A4519 | 2022-2023 | Regular Session | Introduced". LegiScan. Archived from the original on 29 Oct 2022.
  6. "New Jersey Senate Bill 3271 (Prior Session Legislation)". LegiScan. Archived from the original on 2024-10-12.
  7. 7.0 7.1 Prakash, Timothy (11 Sep 2023). "BMW Drops Heated Seats Subscription Due To Customer Backlash". The Sun. Archived from the original on 4 Aug 2025. Retrieved 1 Apr 2025.