US Secretary of Transportation: driverless cars all over the world by 2025

Anthony Foxx, Secretary of Transportation visited the Frankfurt Auto Show together with his colleagues from the G7 and German Chancellor Merkel. In an interview with German newspaper Frankfurter Allgemeine Zeitung, he stated that he is very optimistic with respect to driverless cars and expects to see them in use everywhere in the world within 10 years. He wants to accelerate the process for the introduction of new technologies such as self-driving cars and avoid the current legislative delays of five or six years. Of, course safety must always be assured.

The Frankfurt Auto Show clearly demonstrates how much more seriously politicians and the auto industry are taking autonomous car technology and the changes that they will bring.

Source: Frankfurter Allgemeine Zeitung, 2015-09-19

Chinese company unveils prototype of self-driving bus

After three years of development, one of the leading Chinese bus manufacturers Yutong has sent the prototype of a self-driving city bus on a 32 km long circuit on an intercity road between Zhengzhou and Kaifeng in Henan Province. The bus drove the whole track in regular traffic without any human assistance, attained a peak speed of 68 km/h, passed 26 traffic lights and was able to change lanes and overtake autonomously. This is a significant accomplishment and clearly puts Yutong on the map for autonomous driving.

The bus is equipped with many sensors, including camera and Lidar. Two Lidar sensors are strategically placed in the middle of both sides of the car. This is the best way to monitor the adjacent lanes and mimics the approach Google has taken on their driverless pods (where the side Lidars protrude like the mirrors of conventional cars).

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Image source: Yutong, 2015.

The company’s press release points out that significant additional development is required. No further information about the timeline for the introduction of such a bus was provided.

Self-driving buses are very promising and will be a key ingredient of future mobility. On demand-buses will be able to service the complex mobility demands of our societies much better than today’s mix of scheduled buses, trains, and individual cars. They will lower the cost, resource consumption and ecological footprint of mobility. Because significantly lower costs will prompt many travelers to use buses on medium to long-distance trips instead of cars, these buses will increase the effective capacity of highways when measured in people-miles.

 

Source: Yutong Bus Company, Dailymotion video

Update 2016-02-21: The bus traveled between Zhengzhou and Kaifeng in Henan Province. The approximate route can be looked up on Google maps.

Autonomous vehicles could reduce Australian road infrastructure growth by a factor of three!

A report issued by Australian telecommunications company Telstra shows that autonomous vehicles could save Australia billions of dollars in traffic infrastructure investment. With conventional vehicles, the capacity of the road network would need to more than double (to 250%) over the next 35 five years to accommodate increased mobility demand. Self-driving cars, however, use the road more efficiently and require less road capacity. Based on the assumption that autonomous vehicles will be introduced into the market by 2020 and their adoption will grow linearly until all vehicles can drive autonomously twenty years later the study finds that road capacity demands will peak around 2033 at a level 50% larger than today’s road infrastructure and then decline towards today’s road infrastructure levels by 2039.

The study clearly shows that infrastructure planners need to adjust their estimates of road network growth to the advent of self-driving cars. With these cars governments can  reduce road infrastructure spending by billions of dollars. It is time to fundamentally rethink the current approach to infrastructure planning!

Impressive as the potential savings identified in the study are, additional effects may further reduce infrastructure needs: The study did not consider impending structural changes in mobility: Autonomous vehicles will lead to an increased use of mobility-on demand services which change the distribution of trip patterns during the day and increase ride sharing in various forms. Both effects will further reduce the peak load on our roads.

It is time to seriously consider the implications of self-driving cars. Rather than investing in concrete and asphalt, governments should accelerate the adoption of autonomous car technology today. This lowers accident rates, reduces the ecological footprint of mobility and increases the competitive position of first-adopter countries.

Google restructures for its bet on self-driving cars

Google has announced a major corporate restructuring where all Google shares are transferred into Alphabet, a holding company. The new structure is much better suited for Google’s self-driving car ambitions – which may quickly grow into a billion dollar industry . This restructuring is a well calculated move to position Google for the road ahead into self-driving cars/driverless mobility, robotics etc.

It shows how serious Google is about making a major impact in fields outside of its ‘traditional’ internet-centric business.  It is also interesting that Google’s announcement carefully avoids mentioning those activities with the highest revenue potential – such as self-driving cars. Instead they just speak of much smaller activities in Life-Sciences (glucose-sensing contact lenses), longevity and drone delivery.

The Alpha-bet is indeed – as the founders indicate in their announcement - a major bet on the future. A decade from now  Alphabet’s revenues from mobility and robotics could eclipse Google’s web business.

 

 

Misconceptions of autonomous cars

Self-driving cars are a rapidly evolving technology which only a few years ago was still considered science fiction. In such a dynamic context, quick intuitions can be very misleading and misconceptions about the technology, its impact, and the nature of the innovation process abound. In a short article we examine the following four misconceptions:

  1. Driver assistance systems will evolve gradually into fully autonomous cars
  2. The first models of fully autonomous cars will be targeted to the consumer and will be available for purchase
  3. It will take decades until most of the vehicles on the road are capable of autonomous driving
  4. Self-driving cars are controlled by classical computer algorithms (if-then rules)

Driverless car revolution: Buy mobility – not metal

driverless-car-revolutionA new book by Rutt Bridges examines the impact of autonomous vehicle technology on mobility. It is an excellent read, a thought-provoking book which paints a very detailed picture of the future of mobility. It is a wake-up call for the auto industry and a must-read for anyone involved with transportation policy.

Book description:

Imagine a future without congestion, car crashes, smog, or road rage. It’s coming sooner than you think. Summoned with an Uber-like smartphone app, driverless cars will revolutionize transportation. For less than bus fare you’ll enjoy the quiet, comfortable door-to-door service you’d get from a personal chauffeur. A chauffeur that is never distracted, never tired or testy, and always knows the fastest and safest route to get you where you’re going. No cash, no tipping, no crowds, no congestion – just hop in, enjoy the ride, hop out, and be on your way. These cars will be electric: quiet, clean, and so safe that deaths and disabilities will be rare. Instead of dealing with road rage and the frustration of bumper-to-bumper traffic, you’ll be free to text, Facebook with friends, or get a head start on your workday. Since you can cut your cost in half by riding with another passenger, seamlessly arranged by your mobility provider, traffic congestion will slowly fade away.
Owning a car means car payments, insurance, registration, maintenance, gas prices, smog, tickets, accidents, finding parking, and dealing with the stress of traffic. Buying miles instead of metal means you’ll save thousands a year for your dream vacation, the kids’ college education, or buying a home of your own. In addition to lowering stress and regaining the use of 5% of your waking hours, putting an extra $5,000 a year in people’s pockets will compel this change.
Driverless Car Revolution explains the benefits for people of all ages, from kids through seniors, plus the disabled, the working poor, tourists and other special groups. The book also discusses the economic disruption of major industries as well as potential geopolitical upheavals – all the pieces of the puzzle, and how they fit together.
Fasten your seatbelt, engage, and prepare to join the Driverless Car Revolution.

Get it via Amazon.com

This graphic shows the future of the auto industry

It may have taken professional auto industry analysts some time to understand the impact of autonomous vehicles. But now Morgan Stanley’s Adam Jonas has come up with another ingenious 2-by-2 chart so much en vogue with international strategy consultants which highlights the core transformative forces at work. This is a major intellectual feat because it compresses the problem space and helps reason about changes, challenges and opportunities associated with self-driving cars. The chart is shown below. Because I don’t have access to the original Morgan Stanley report the following explanations may not exactly reflect Morgan Stanley’s reasoning.

End-of-the-auto-industry

Quadrant (1) shows the auto industry today which is exposed to to major forces of change: The sharing economy leads to the emergence of companies which provide mobility as a service. Uber, Car2Go, DriveNow, Lyft and others are examples for this trend. In parallel, the auto industry faces the trend toward autonomous driving. Several companies, including Daimler, Nissan, and others are working on models targeted toward the consumer which can drive autonomously. The fourth quadrant shows the confluence of both trends: The shared autonomy. Autonomous pods such as the Google electric autonomous 2-seater, the Lutz Pathfinder currently being deployed in the UK and CityMobil2 autonomous buses fall into this category.

The future of the auto industry can be found in this fourth quadrant. Economic reasons clearly show that this quadrant will capture the lion’s share of individual motorized mobility. Neither of the other quadrants will be able provide individual mobility at competitive prices compared with the providers of autonomous mobility services of quadrant (4). Of course the other quadrants – particularly the 1st and third quadrant will not disappear entirely. There will still be some privately owned cars but they will represent a much smaller share of the mobility market than today.

Adam Jonas conclusions about the future of the auto industry are in line with the scenarios I have outlined over the past years in many articles – including five years ago in my first paper on this topic:  ‘Autonomous cars: The next revolution looms‘ .

Source: Morgan Stanley, Los Angeles Times

Netherlands first to operate a self-driving shuttle in public traffic?

The competition for low-speed self-driving vehicles in public traffic is heating up. Now the executive council of Dutch ministers has given the green light for running two driverless shuttles in the Dutch city of Wageningen starting in December 2015. The electric shuttles will carry up to 8 persons from a train station to the university on a stretch of approximately 6km on public roads with a maximum speed of 50km/h. Although these will be tests, the shuttles will operate autonomously without safety drivers on board. The shuttles’ operations will be monitored remotely. Before the shuttles be placed in service both chambers of the Dutch parliament need to amend Dutch traffic law. If everything goes according to plan, the world’s first fully autonomous shuttles without backup driver on board could make history in the Netherlands in December!

© Ligier Group

Image: EZ-10 Autonomous Shuttle of Ligier Group, Easymile

Sources: de Gelderlander, carrepublic.nl

Five guiding principles for autonomous vehicle policy

As self-driving car technology matures, politicians and regulators find themselves called to action. But the technology is a moving target and views about the technology’s path and impact vary widely. So how should policy makers approach the subject? Here are five guiding principles proposed by Marc Scribner,  a transportation and telecommunications policy specialist and research fellow at the Competitive Enterprise Institute. Scribner only discussed the principles briefly at a recent presentation at the Cato Institute. In the following I supplement each of his five bullet points with my interpretation:

1. Recognize and promote the huge potential benefits of self-driving cars

Policy makers need to familiarize themselves with the potential benefits of self-driving cars. First, they need to get the concepts right and clearly distinguish self-driving cars (which can drive without human supervision, even empty, and don’t need additional infrastructure) from other technologies such as driver assistance systems and connected cars. Connected cars and driver assistance systems are certainly also interesting topics but their benefits pale in comparison to the benefits of cars that drive themselves. Besides greatly reducing accidents, self-driving cars also bring individual motorized mobility to those who do not have a driver’s license – including people with disabilities and the elderly. They reduce energy consumption, simplify the introduction of alternative fuels and reduce the load on the road infrastructure.
Policy makers need to recognize that self-driving cars can solve or greatly reduce many longstanding problems. This is not a technology where a wait-and-see attitude is warranted. Politicians need to actively promote this technology. Of course, this does not mean that the technology’s risk should be ignored.

2. Reject the precautionary principle

Safety is a key concern and a key benefit of self-driving cars. There is good reason to expect mature self-driving cars to drive much safer than humans. They are equipped with 360 degree sensors, including cameras, radar and Lidar, are always alert, never tired, don’t drink and adopt a defensive, risk-minimizing driving strategy. But letting the first such cars drive by themselves on public streets is a difficult decision: what if anything goes wrong?
The application of the precautionary principle avoids this situation by requiring the developer to prove that the car is harmless. Unfortunately, proving that a self-driving car is safe is a hard problem and strict application of the principle could significantly delay the introduction of self-driving vehicles.
This weakness of the precautionary principle is well-known: There is the risk that erring on the side of caution when certifying self-driving cars prolongs the current carnage on our  on our roads. Unfortunately, we don’t have the luxury to delay a well-functioning self-driving car for a few more years to be extra-sure that everything is perfect when 33,000 people die in traffic accidents per year in the US alone and more than 1 million per year worldwide.
As much as it is not acceptable to let first prototypes roam the streets unsupervised it is not acceptable to delay and delay just to be on the safe side. A middle ground must be found. This is not an easy task for policy makers but one on which lives depend.

3. Don’t presume to know how the technology and law will evolve

Will autonomous vehicle technology gradually evolve from driver assistance systems? Will they first appear on the highway or in low-speed local settings? What new business models will emerge and what role will machines play? Will the US be the first to legalize fully autonomous vehicles or does the Vienna Convention on road traffic really prevent many European Countries from adopting self-driving vehicles? There are so many paths that this technology can take, so many changes in many different areas of business and society, so many proponents and possibly opponents that it is hard to be right about the path of technology and – consequently – of law. It is very dangerous to assume that the technology will evolve in one way, then regulate for this situation and subsequently find that the technology evolves very differently.

4. Let the innovators innovate

This section was originally entitled ‘minimize legislative and regulatory intervention’ and included the goal to give the innovators the space to innovate. But here I differ with Scribner: Unfortunately, transportation law is so much based on the concept of vehicles driven by humans that many laws do need to be changed. Current traffic laws contain so many elements that inhibit progress for this new and safer technology. Autonomous vehicles change the concept of what a car is and the laws need to be updated accordingly. Otherwise innovators will find it hard to make progress. This is a task that should be started immediately – before fully autonomous vehicles are ready for public roads.

5. Preserve technology neutrality

Laws and regulations should be technologically neutral. As much possible, they should avoid favoring a specific technical approach.