Because driverless car is an IT product. There is a saying proclaiming that in IT a winner takes all. This means that the best driverless car producing company will have all the transportation on the roads business for itself. Exactly the same way like Apple killed Nokia, Tesla will kill Ford. Tesla employs the network effect. If more people are using Tesla's driverless car then the car's artificial intelligence system learns more, becomes better and attracts even more people to use it. This why Ford just fired pretty good CEO of traditional car producer and installed a guy working as fire extinguisher in his place. Ford is on fire as we speak. Ford stock goes down the drain, Tesla's stock goes through the roof. Driverless car will give so much power to the company and the country that introduces a good driverless car first, that everybody are rushing to the market [1].
Today's internet search is based on artificial intelligence (AI). Self-driving cars are based on AI too. The nature of AI is stubborn: the more one particular system of AI is used for a particular task the better this particular system of AI becomes at this task. This is a typical network effect. Sorry guys, self-driving cars have to end up in hands of a monopoly the same way as Google's search is. Enjoy the ride.
1. "Skier1
in reply to Kęstas Brumas
May 27th, 00:03
Autonomous taxis (AT) with AT insurance policies and AT-friendly traffic lights, driving on fixed urban routes at low speeds, will be launched in Milton Keynes, England, in 2018.
Driverless cars are closer than The Economist thinks."
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