GM Reportedly Making $1500 Option Mandatory on Some New Models
GM is making a $1500 option mandatory on all new Buick, Cadillac, and GMC vehicles, according to a report today by the Detroit Free Press.The option is for the three-year OnStar and Connected Services Premium Plan.Essentially a price hike, GM’s mandatory option looks to be the latest example of automakers finding ways to raise prices.
What once was an option is now becoming mandatory and being rolled into the price of some new General Motors vehicles. That’s because the company is reportedly making a $1500 option standard on all new Buick, Cadillac, and GMC models, according to a story today by the Detroit Free Press.
The option in question is GM’s OnStar and Connected Services Premium Plan. It provides three years of access to services that include automatic crash response, roadside assistance, turn-by-turn navigation, a remote key fob, vehicle diagnostics, a Wi-Fi hotspot, and more. Car and Driver has reached out to General Motors for comment and will update the story if we receive further information.
Although the OnStar plan is listed as an option on the window sticker, customers who have bought a new Buick or GMC since June 2—or a new Cadillac since July 18—have been required to pay for it whether they use the services or not, according to the Detroit Free Press article. Also mentioned is that the same situation could face Chevy customers, as the brand is reportedly still finalizing its plans for similar services.
Andi HedrickCar and Driver
The news comes during a time when it’s not uncommon for automakers to raise prices and revise what features are optional and standard. We here at Car and Driver recently highlighted the notable price hikes given to the Ford F-150 and Chevy Silverado 1500. We also learned today that Ford is raising prices for its F-150 Lightning electric pickup truck due to “significant material cost increases and other factors.”
In the case of the mandatory OnStar option, a GMC spokesperson told the Detroit Free Press that the company chose to make the connected services standard because it’s “more convenient for our customers and provides a more seamless onboarding experience.”
That, of course, will be up to new car buyers to decide as they’ll likely continue to encounter more examples of automakers finding new ways to raise prices.
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