According to the Strategy Analytics report and CBInsights, Level-4(SAE) Autonomous driving will become widely common by 2030, and already, major automakers and even IT corporates including Google, Apple, and Mercedes Benz are hard at work building their own self-driving vehicles.
These self-driving cars not only will change the streets but also our whole lifestyles. In the wake of driverless cars, many large industries will have to shift their strategies.
Despite some challenges, many believe driverless cars will make automobile transportation a whole lot safer, and potentially reduce the number of auto accidents in the long run. While this might save insurers money on payouts soon, demand for insurance could ultimately decrease as the risk of a car crash drops. In anticipation of this shift, some insurers are rolling out postpaid plans as Level-3 Autonomous driving becomes available starting this July, which would charge consumers after making sure whether the accident occurred because of the autonomous driving system or not.
According to the Health Insurance Review & Assessment Service in South Korea, the amount of money spent on patients from car accidents was approximately KRW 1.7 trillion. But this will rapidly decrease as self-driving cars dominate streets. In addition to fewer accidents, autonomous fleets could also function as diagnostic checkup sites, turning autonomous cars into a site for passengers to receive simple healthcare services, like blood pressure or heart rate checkups.
Fewer accidents might also mean fewer trips to the body shop. As a result, mechanics’ traditional expertise might become less valuable as cars become more connected and software-dependent. This information could give drivers more transparency into the repairs they need, and allow them to calibrate preventive maintenance and avoid more expensive repairs down the line.
Hough companies like Uber and Lyft have been able to provide significant competition for traditional taxi companies, it’s unclear whether they will be better at producing cars than major auto manufacturers that have spent more time working on self-driving vehicles. This is why Hyundai started to collaborate with a car-sharing service provider Grab, or on the other way around, Uber and Lyft are working on developing autonomous driving systems.
The hotel industry could look very different in the future. Already, the big chains have been adopting to younger travelers who have increasingly sought out lodging alternatives like Airbnb when vacationing. The proliferation of driverless cars could cut into another big portion of hotels’ customer bases. Just as the travelers opted for a single-night stay at a night train, they will do so in an autonomous car.
If you want to fly to Busan from Seoul in South Korea, it actually takes longer than 4 hours including the time you need to spend at the airport. Short-haul flights could face a significant threat from self-driving cars. Once autonomous vehicles make car travel more convenient, with mattresses and movies, many people might choose to take an on-demand car ride for shorter trips instead of going through the many hassles of air travel.
When you read news magazines, the hottest potato in the economy section has been always about the real estate market. According to the report 'Autonomous vehicles, driving change for real estate' from CBRE, a global commercial real estate services and investment firm, faster and easier commutes with mattresses and makeup tables will shift residential property value from properties in urban centers to those in suburban areas, due to the replacement of existing car infrastructure―parking lots and gas stations―with other pedestrian-friendly areas.
25% percent of McDonald’s sales in South Korea reportedly come through the drive-thru window, making 60% of their stores drive-thru. Coffee shops like Starbucks or Ediya Coffee are expanding their DT stores as well, potentially making the companies like them extremely vulnerable in a driverless world. In self-driving cars, people might simply input the coordinates of their destination, reducing the chance of detour for an impulse food purchase. Food stops will be determined more by choice, mood, and quality ― less by convenience.
Some people say that autonomous cars might kill motorsports because there will be no need for humans to drive a car. But motorsports is not about driving. Just as horse racing did not perish, the motorsports industry will survive. Maybe autonomous racing might come true in the future.
In May 2018, US Under Secretary of Defense for Research and Engineering Michael Griffin told lawmakers that the Pentagon would reap the benefits of driverless vehicles before the public does. According to Griffin, more than half of casualties in combat zones involve military personnel making critical deliveries of fuel, food, and general supplies. Subsequently, military adoption of self-driving vehicles could remove military personnel from danger, reducing injuries and saving lives. Many armed forces are already experimenting with driverless tanks and pilotless aircraft.
Global Disaster Relief
For volunteer organizations working in remote or under-resourced areas, driverless cars could provide a new means of transporting supplies to people in need, without requiring a driver (or the food, shelter, and other resources a driver requires in these areas). In addition to bringing supplies like food, clothing, or medical equipment, driverless cars could also be equipped with satellite and cell services, bringing connectivity to remote regions or to places where natural disasters, political upheaval, or other accidents have disrupted the usual infrastructure, such as the CoronaVirus outbreak.
Media and Entertainment
The average South Korean drives 43.5 kilometers each day, and without having to keep his eyes on the road, he could theoretically have more time to consume news and entertainment. Broadcasters could compete to provide video content that travelers would be able to consume without risking their safety.
For advertisers, it might also create a huge opportunity to present riders with location-based ads for nearby goods and services, using AR or VR. There might also be mandatory advertising on the windshield if you use car-sharing services.
Elder Care and Childcare
Autonomous vehicles could increase mobility for the elderly, allowing them to remain socially engaged and active without needing to drive. The need for human aides could be reduced, and it might be easier for relatively healthy elderly people to stay in their homes (as opposed to living in a care center) without relying on a car\\etaker to drive them places. Driverless cars could also affect childcare, automating pick up and drop off for schools and daycares and providing a new means of transportation for children. The disabled will, too, have a much easier time getting on and off a car. People with vision impairments would just as easily use car-sharing services with his guide dog.
As driverless cars take to the roads, they will generate huge amounts of data ― and need the infrastructure to support it. Autonomous vehicles will require a widespread low-latency wireless connection to fiber networks and data centers, and Intel estimated at the Global Automotive Forum 2017, that autonomous cars could generate 4 terabytes of data per day, meaning the rise of autonomous vehicles could drive demand for more data centers and more robust fiber networks.
HMG Journal Operation Teamgroup@hyundai.com
Pursuant to the Creative Commons License (CCL) 2.0, all users can copy, distribute, and transmit Information available on the Hyundai Motor Group Newsroom, or use it for exhibitions and performances. Please note, however, that all information is protected by copyright. Information users must use the information available on the Hyundai Motor Group Newsroom for strictly private/personal purposes only.HMG Operation Policy