Business Models
Driverless cars and other AV’s are impacting business models today, and will certainly impact more in the future. Topics on this page are focused on business models being disrupted by the technology, and business models created by the technology.
Driverless Cars Will Change Auto Insurance. Here’s How Insurers Can Adapt
This article original posted on hbr.org There is little doubt that the widespread adoption of autonomous vehicles will have a huge impact on the automobile insurance industry. Research and computer modeling conducted by Accenture in collaboration with the Stevens Institute of Technology indicates that as many as 23 million fully autonomous vehicles will be traveling U.S. highways by 2035 (out of about 250 million total cars and trucks registered in the U.S.) This rapid growth of autonomous vehicles will involve a major shift, not only in our...
read moreSelf-driving vehicles: The “platform” business model
This article original posted on driverless-future.com How will autonomous car technology generate profits? Among the many different business models – from self-driving mobility services to models centered on data, advertising or entertainment – platform-oriented business models are currently receiving much attention, not the least because Waymo seems to be leaning towards them. The term “platform” can be understood in different ways: In the automotive context it is usually understood as a car platform where many different models share the...
read moreSelf-Driving Cars Can’t Cure Traffic, but Economics Can
This article original posted on nytimes.com It’s easy to get giddy about self-driving cars. Older people and preteens will become more independent and mobile. The scourge of drunken driving will disappear. People will be able to safely play video games while on the freeway to work. But there is one problem autonomous driving is unlikely to solve: the columns of rush-hour gridlock that clog city streets and freeways. If decades of urban planning and economic research are any guide, the solution is unlikely to come from technology but from...
read moreWhy Tesla Will Dominate The Autonomous Vehicle Market
This article original posted on huffingtonpost.com ARK Invest believes innovation is key to growth. We seek to capture long-term out-performance and capital appreciation created by disruptive innovation. Rooted in almost 40 years of experience, ARK’s aim is to identify large-scale investment opportunities resulting from technological innovations such as robotics, big data, machine learning, blockchain, cloud computing, energy storage, and DNA sequencing. ARK focuses solely on disruptive innovation and investing in leaders, enablers, and...
read moreWho Will Finish First in the Race for Autonomous Vehicles?
This article original posted on fticonsulting.com When we think of cities of the future, self-driving cars or Autonomous Vehicles (AVs) are zipping around “smart” infrastructure, reducing traffic and urban sprawl and increasing efficiency. That vision isn’t that far off. But unlike other futuristic technologies, such as Virtual Reality or Artificial Intelligence, the projected $1.5 trillion AV industry faces incredibly complex regulatory environments that challenge stakeholders around the world in both public and private spheres....
read moreSELF-DRIVING CARS ARE CONFUSING DRIVERS—AND SPOOKING INSURERS
This article original posted on wired.com THE GREAT PROMISE of autonomous vehicles, aside from saving you from the tyranny of commuting, is their ability to save lives by replacing stupid humans with intelligent computers. But these cars, at least in the short-term, could make driving riskier because people don’t yet understand the technology or just how it works. British auto insurance companies call this “autonomous ambiguity,” and it is not an abstract issue. Automakers like Audi, Cadillac, Mercedes-Benz, Tesla, and Volvo...
read moreHOW AUTONOMOUS VEHICLES WILL FOREVER CHANGE HOW WE BUY, OWN, AND INSURE CARS
This article original posted on digitaltrends.com There are plenty of stories about the work being done to develop a truly autonomous car. For the most part, we focus on the technology – the radar, the cameras, and the software that will pull it all together. There’s no doubt that the result will be life-changing, not only for those who can’t drive a conventional car but for all of us. But the shock waves of this disruptive technology will shake the world in more ways than one, and the technical work moving forward at automakers today has the...
read moreDriverless Cars Set to Save World Economies Billions – World Study
Traffic accidents cost world economies billions each year, but with the development of autonomous driving technologies these costs could be reduced dramatically. Autonomous driving technologies are revolutionising the automotive industry with their promise to improve vehicle safety and reduce traffic accidents, but what is the monetary impact of this on GDP? Experts at Global Positioning Specialists (GPS) have revealed how much GDP could be saved through driverless cars in 73 countries. GPS combined the percentage of GDP lost to traffic...
read moreHere’s the timeline for driverless cars and the tech that wil drive them
This article original posted on mashable.com Just three years ago, autonomous cars seemed like a pipe dream relegated to a far-off decade in the future. But then, last week, Ford announced that in 2021 it’s planning to release an autonomous car without a steering wheel, brake or throttle pedals, designed for ride-sharing. Just a few days later, Volvo and Uber made public their partnership to develop a driverless car. Now, it seems autonomous cars aren’t just a fanciful future prospect but rather something tangible — and a real...
read moreTesla And Autonomous Vehicles: Is It A Self-Defeating Business Model?
This article original published on seekingalpha.com Summary Tesla’s plans for automated vehicles conflict with a strategy to sell millions of cars over the next several decades. Tesla’s vehicles will need to prove themselves to be many times safer than traditional driving before they will be publicly accepted as truly autonomous. Autonomous vehicles will eventually lead to a cratering of demand for new vehicles. Driving down demand for vehicles will have the knock-on effect of drastically lowering the price for gasoline. What do...
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