Volvo Calls Out Carmakers Charging Monthly Fees For Heated Seats

Volvo is inching closer to the launch of the EX60, and alongside the rollout of the new electric SUV, the Swedish automaker has been making the media rounds. In an interview with Motor1, Volvo's Chief Commercial Officer, Eric Severinson, shared the company's stance on subscription-based car features. Severinson criticized the idea of charging monthly fees for basic functions like heated seats, saying luxury brands "shouldn't nickel-and-dime customers" after they have already spent tens of thousands on a premium vehicle.

Why Carmakers Love Subscriptions

Money makes the world go around, and the autosphere is no exception. Subscription services have become increasingly common as automakers look for new ways to generate recurring revenue beyond traditional vehicle sales. In fact, GM thinks subscription services could eventually generate more revenue than selling cars.

BMW faced heavy criticism after introducing heated seat subscriptions back in 2022, but have since admitted it was a mistake. From the manufacturers' perspective, these systems allow for a more streamlined production process, since every vehicle could leave the factory with the same hardware installed. Subscriptions would essentially serve as a paywall to unlock features already installed on your car.

Volvo Draws The Line

Volvo believes there is a major difference between premium software services and features that are already installed in the car. Severinson explained that charging extra for basic functions does not align with the experience buyers expect from a luxury automaker.

However, he noted that subscriptions can still make sense for larger digital ecosystems such as advanced driver-assistance systems or software features, like Volvo's upcoming Google Gemini-integrated infotainment.

A Different Kind Of Luxury Brand

While Volvo competes directly with brands like BMW and Mercedes-Benz, buyers seem to gravitate toward German luxury brands, making it harder for Volvo to compete. The company's EV lineup now includes the compact EX30, the flagship EX90, and the upcoming EX60, which is expected to rival models like the iX3 and GLC EQ.

Volvo's CEO has also signaled openness to building Chinese-developed EVs in the US, with help from their parent company Geely. Not only could this make electric vehicles more affordable, but combined with its public criticism of subscription features, Volvo would earn the public's favor.

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This story was originally published May 9, 2026 at 4:45 PM.