Earlier quoted context omitted.
I don't have strong opinions about self-driving cars in this context, but the pattern of this argument doesn't track: you can omit "self-driving" and the underlying premise is still the same (that companies have an incentive to lease rather than sell objects to capture service revenues). But the reality is that people do own cars, and no car manufacturer that I know is also trying to become a taxi operator (except ma…
The pattern is that hardware is sold but software is now rented, it must be a 'revenue stream', not a one-off sale. Cars were hardware. But now contain ever-increasing amounts of software. With self-driving cars, the software is the main feature.
The development cost of the updates and patches has to come from somewhere - either significantly marking up the initial purchase cost to fund the on going development (side bit: when a one time purchase server shuts down people are up in arms about that) or with some form of subscription model.
If a driverless car maker can be liable for the software that they released some time ago and didn't update, then the funding of that development effort has to come from somewhere.
If some of the compute or data updates is in the cloud, that comes with an ongoing cost. Compare with getting a DVD with a database of road updates once a year ( https://ford.navigation.com/product/Catalog/2023-Green-DVD-M... ) and the "this road is closed" ( https://www.wyoroad.info/pls/Browse/WRR.STATIC5?SelectedDist... ) or "there is heavy traffic, a different route is suggested" services. Those come with an ongoing cost somewhere.