The market is initiated by the Automotive industry is somehow perplexing that what reasons caused the market to disrupt the tradition or the existing market players and scenario. What factors led to such development and can be seen as a huge turnover for major players in the Autonomous car market?
The key factors for Autonomous car are: –
- Mobility Services- Ridesharing or hailing are one key driver for companies like Uber and Lyft to join the race of adopting autonomous cars even before individual ownership comes into the market.
- Technology investment- Auto manufacturers, the providers of mobility services, and technology companies are joining in new partnerships in transportation technologies that enables ecosystem and new business models with the enhancement of the ability of OEMs to scale up the current supply chain limitations.
- Pollution control initiatives- The emphasizing policies by the government to increment environmental policies is supporting more friendly hybrids and electric vehicles whereas most autonomous cars are driving the market with an electric power train.
- Mortality reduced and spending on public safety- The main motto of Autonomous vehicles is a reduction in accidents leading to saving many lives thereby costs saving on public safety by US$234 billion by 2045.
- Economic benefit- Another major attracting point is generating wealth through driverless cars. The market is expected to be over US$1 trillion worth and by 2050 it will be US$& trillion worth. The ride-hailing is expected to be US$4 trillion and driverless delivery and business logistics are expected to be US$3 trillion.
- Smart Infrastructures- Any modern technology will yield in modernizing the city or highway smarter way with Infrastructures being built with smart technology for road signs, traffic lights, and merge lanes. The more infrastructure is organized and organized better, the faster will be the adoption of the autonomous car.
In my opinion, an Autonomous vehicle is not just smart transportation but also making the surrounding or neighbourhood smarter. The more organized the signals and road infrastructure will be, the better transportation communication can be achieved. Especially the developing countries aiming for smarter cities’ development.
Source:- In-depth: eMobility 2019 (Statista Mobility Market Outlook)