I've worked on the costing side of things for head units and instrument clusters, so let me weigh in here since there are a couple things at play. First is tha

I've worked on the costing side of things for head units and instrument clusters, so let me weigh in here since there are a couple things at play. First is that Tesla just straight up doesn't play the traditional head unit provider game. Most OEMs go with one or two hardware suppliers (Denso, Pioneer, Kenwood, etc.) for their head units, pretty much all of which are completely and utterly behind on technology and also ridiculously overpriced for a variety of reasons. They also add expensive OS/software licenses or in-house development for, again, behind the times products to run on the head units and pair with your phone. Tesla, on the other hand, just grabs a good-enough touch screen, powers it with Nvidia hardware, and cranks out some pretty software built on top of Linux that mostly works. Second is labor cost. Instrument cluster hardware isn't free, but it also isn't terribly expensive for your standard gauges in mass-manufacturing bulk. However, labor is not cheap to actually wire up, place, and test all those gauges. Wiring is one of those things that's hard to automate, so your costs between the hardware and labor boost the BOM cost up quite a bit. Tesla, on the other hand, just runs a single CAN bus connector to their center console display hardware, pulls the info they need to update it, and calls it a day. The net result is that the total production cost of a single center screen ends up being quite a bit lower than the equivalent head unit + instrument cluster in a traditional car.