Recent news has been big. First, Nissan announced it would sell robocars by 2020 and now today Daimler has announced the same. (Note that the 2014 S-class is the first car with a self-driving feature, a “you must still pay attention” traffic jam autopilot.)
In addition, sources have claimed that Google is either about to announce a collaboration with Conti on Sept 12 or is making plans to produce its own car and taxi service. (I was quoted, though not about Google, in one of the artciles in the series.
While I don’t comment on Google’s plans, I do believe it has one big advantage in this race. It doesn’t know what the rules of the car industry are, and has no desire to follow them. The car companies have huge resources, and better expertise on cars, but their internal rules and practices, honed over a century, are sure to hobble them. They won’t take the risks that non-car companies will take, won’t want to damage existing business lines, and will face attacks within the companies from the “company immune system” which seeks to attack disruptive ideas within big companies.
Google’s main impediment is that it is also a big company, though an unusual one. But this business is so hard to enter that we have yet to see a start-up make a play.
The statements from all these parties will do lots of good, lighting fires under the other players, including the unannounced ones. I believe that in the 2020s, the software and sensor system which drives the car will be the most important part of the car, more important than even the engine. While the world will be better off if there are multiple competing suppliers of this part, whoever dominates this will dominate the car industry.