The Industries That are Threatened by Driverless Cars.
Major stakeholders in the world of technology are putting their energies on the idea of having cars which are automated, and this could be a changer twenty years to come. The idea of driverless cars could become a reality faster than we imagined. The realization of this will be a major progression in technological expansion ever known to man. While technology and automotive companies stand to reap huge profit from the advancement; there are a number of industries whose survival will be under threat of collapse. Many organs of the economy will have to acclimatize to the development or will vanish. However, there are some which will be greatly affected.
The insurance industry stands to lose a lot in this invention. Driverless cars will become a reality to the consumers once it has been established that they are perfect regarding safety. Errors in technology cannot be allowed unlike in cases where human error is allowed since a possible tragedy in a technological hitch can be massive. This means that, as time progresses and the safety of the cars is guaranteed, fewer people will see the need for motor insurance. This will directly affect revenue for motor insurance companies who will record losses as well as lawyers who represent car accident victims.
The realization will also affect people who drive as a profession. The announcement has been done by Uber Chief Executive Officer about their plans to phase drivers for the automated cars, after its launching. Drivers who work in the taxi industries, drive ambulances, trucks and other vehicles will be impacted as their services will not be required when the technology is realized. This is because this type of technology will allow companies to manage their fleets and enhance efficiency with reduced costs. Only a small number of human resource will be required to manage the machines and will eventually be reduced to a small number as much as possible.
The realization of this innovation will influence the hotel industry negatively. This industry has gone through some difficult situations, and this will only make the matters worse. In many cases, when people are driving, and they get tired, they seek a motel or a hotel to relax over the night. This has created a lot of revenue for the hotel industry over the years. Use of hotels for resting overnight will diminish with the launching of the autonomous vehicles. Travellers will rather stay in the vehicles throughout the night for the night. Spending time in the cars without moving to hotels will avoid money and time wastage.
Airline businesses are among the enterprises that will have profit losses. This will mostly affect the airlines that specialize in domestic flights. Individuals will go for the domestic planes to avoid wasting time on the road and getting exhausted. Nevertheless, the autonomous car provides a traveler with a peaceful journey where they are less disturbed, and they can have ample time to get ready for their meeting.
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