How Driverless Cars Will Affect the Global Economy

Experts disagree on when driverless cars will replace ordinary cars on the roads. For example, the Institute of Electrical and Electronics Engineers in the United States (IEEE) predicts that even by 2040, only about 20% of all cars in the world will be autonomous. In other words, cars with a human behind the wheel will dominate the roads for the foreseeable future.

This does not mean that the impact of driverless cars on the economy will be small. First, such vehicles will be actively used for specialized tasks. Second, some countries are already actively testing unmanned cars. They are likely to become the leaders in introducing the new technology. The share of drones in these countries may reach 50% much earlier than experts expect. And if every second car on the road will be driverless, the process of replacing classic cars will go much faster. Read here about grease for u joints.

Transformation of market verticals

Here are a few examples of how autonomous vehicles will affect various industries.

Defense. The military will be able to use autonomous vehicles to transport cargo in hazardous areas. The absence of a driver avoids risking soldiers’ lives in areas where enemy fire and sabotage activities are possible.

Agricultural sector. Through the use of unmanned tractors and other agricultural equipment, farmers will increase business efficiency. One operator (instead of driver) would control several tractors or combine harvesters at once, which would accelerate the process of harvesting and other agricultural works.

Security services. Law enforcement agencies will be able to use driverless cars for patrols. For example, Dubai is already planning to use unmanned police cars equipped with cameras, machine learning tools and 3D-technologies of surveillance for patrolling the city streets.

Insurance industry. One of the advantages of autonomous cars is that they will help reduce the number of traffic accidents and accidents. This also entails a decrease in the number of insurance premium payments. Generally speaking, the insurance industry will be hit hard by a reduction in the number of jobs related to driving. We are talking about such professions as bus, trolleybus, streetcar and cab drivers.

Logistics companies. Autonomous vehicles will have a very big impact on the logistics industry because they will reduce accidents and increase driver productivity. The latter, who should already be called operators rather than drivers, will be able to work on other tasks while traveling. Fuel efficiency will also increase, as autonomous vehicles will be able to choose the most optimal routes and speed. Read more here.

Generally speaking, unmanned vehicles will play an important role in human life not only because they will help get from one place to another without a driver. They will also have a significant impact on traffic by reducing the total number of cars and reducing the likelihood of accidents. Autonomous vehicles will be useful for those who do not know how to drive, increasing safety, reducing fuel consumption, and thus pollution. The need for parking spaces will also decrease, because people will not have to park their cars.

Problems with implementation

General standardization. One of the challenges of transitioning to autonomous cars is standardization. Since different manufacturers use different technologies for unmanned driving, generally accepted standards are needed. In general, standardization of vehicles for safe use is paramount.

Legislative regulation. Unmanned driving technologies are evolving rapidly. However, conflicting rules regarding standard-setting and legislative regulation can slow progress. Conflicts between the laws and standards of different countries are an obstacle that must be resolved, only then will new technologies be compatible not only locally, but globally. Currently, this problem has not been solved.

What are the perspectives?

Leading car manufacturers are investing huge amounts of money in research and development of unmanned cars. And if they can release new self-driving cars within the announced timeframe, drones on public roads will very soon become a common reality. Nevertheless, any new technology has both pros and cons. Although autonomous transport implies many useful applications, many issues are still unresolved. And technologies that will obviously revolutionize our daily lives still have a long way to go in terms of standardization, legalization and official recognition. Therefore, the “unmanned future” depends not only on manufacturers, but also on government regulators.