Automotive & Services and Other Segment

Automotive sales revenue includes revenues related to cash and financing deliveries of new Model S$,$ Model X$,$ Semi, Model $3,$ and Model Y vehicles, including access to our FSD features, internet connectivity, free Supercharging programs and over$-$the$-$air software updates. These deliveries are vehicles that are not subject to lease accounting.

Automotive regulatory credits includes sales of regulatory credits to other automotive manufacturers. Our revenue from automotive regulatory credits is directly related to our new vehicle production, sales and pricing negotiated with our customers. We monetize them proactively as new vehicles are sold based on standing arrangements with buyers of such credits, typically as close as possible to the production and delivery of the vehicle or changes in regulation impacting the credits.

Automotive leasing revenue includes the amortization of revenue for vehicles under direct operating lease agreements. Additionally, automotive leasing revenue includes direct sales$-$type leasing programs where we recognize all revenue associated with the sales$-$type lease upon delivery to the customer.

Services and other revenue consists of non$-$warranty after$-$sales vehicle services and parts, paid Supercharging, sales of used vehicles, retail merchandise and vehicle insurance revenue.