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Why is there a demand for SAEV?

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SAEV- Share autonomous electric vehicles.

As per the reports by Boston Consulting groups,

The reasons for the need for more number of SAEV on the streets are:-

  • They can give consumers an affordable, door-to-door means of reaching nearly any destination in a metropolitan area, thus increasing access to jobs, education, and more. And they can make it possible for many people in urban areas to forgo vehicle ownership affordably. (Of course, these benefits do not apply to people with certain travel characteristics, like needing car seats or commuting with pets—at least, they do not apply yet.)
  • SAEVs can give ride-hailing service providers the means to become profitable (by allowing providers to increase the utilization of their active assets to 70% or more). SAEV fleets can be standardized to improve the customer experience. These vehicles can also be moneymakers beyond the fare that covers the ride: the software and sensors that power the cars in these fleets generate data that can be monetized for advertising and other revenue streams, and advertising can directly target passengers while they are in the vehicle.
  • Society as a whole can benefit from SAEVs, which can reduce vehicle ownership and miles traveled, leading to less congestion and safer, more livable, and walkable cities. And because SAEV fleets run on electric power, they would also decrease pollution.

BCG, in conjunction with the World Economic Forum and the City of Boston, simulated SAEV deployment in the city

The results concluded, that single occupancy of SAEVs will increase VMT ( Vehicles mile traveled),

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However, SAEVs are targeted in large metropolitan cities only with a guaranteed good level of service.

The key players in the SAEV market,

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Source: BCG

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