>Imagine every car manufacturer having a completely different take on what a car should be like from a safety perspective. We have standards bodies for a reason
Roads are also governed by public bodies. Road signs are standardized and public.
I think the government should take a much larger role in defining self driving cars. For example, rather than using computer vision to recognize signs, signs could be active standardized beacons; instead of having to recognize lanes, they could be repainted with rfid chips that are trivial for cars to recognize and follow.
Avoiding driving into people is also something that was somewhat regulated by crosswalks with pedestrian lights. Would it be absurd for the crosswalk to know roughly how many people are at it, then broadcast this to the car, rather than having the car have to recognize them?
There are many things the government could do with transportation infrastructure that would benefit everyone, many of which are literally impossible for companies to do separately. Can you imagine if we had to wait until IBM (or Siemens or Google or Apple) got into the business of launching satellites before we got GPS? There is a good chance that to this day cell phones wouldn't know their location or give anyone any mapping applications.
To me, self driving cars are similar. Many parts of transportation are a public good.