Earlier quoted context omitted.
> there's a lot of other factors to work out like scheduling, routing, supply-demand management, optimal vehicle distribution, pooling etc These things come along the way. If there is a service that's 10x cheaper than Lyft, I could imagine most people would churn to that service. The technology shift from human to completely autonomous driving is so huge that it could just disrupt the current market structure.
>If there is a service that's 10x cheaper Why would a ride service based on autonomous cars be 10x cheaper? It's not like 90% of the current revenue or costs are human labor. I'm not sure the exact ratio of driver labor vs. gas/maintenance/depreciation, but I'm pretty sure it's less than 10:1.
If autonomous cars don't crash, the insurance will be super cheap. If they are electric, then maintenance and operating costs should be very inexpensive.
When cars don't crash, they don't need to be designed to crash, so you can start building the cars out of lighter materials. When the car is far lighter, then the drivetrain can be simpler and energy consumption should be less.
I could see taxis serving city centers that are more like a golf cart than a Crown Vic. So the cars should be cheaper to buy or lease as well.
Some of the same technology that's needed for autonomous driving could be applied to the maintenance and repair side as well. So when the cars do break, I think they could be repaired inexpensively by other robots.
I can imagine all the people involved in the taxi industry being replaced by taxi.py.