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. If this becomes a reality, it will be one of the highest innovations in the technology world ever seen. Technological industries and automotive companies will rake in huge revenue, but this will, on the other hand, affect some companies survival. A lot of sectors in the country will be forced to adjust or peter out. There nevertheless will be the ones which will bear the biggest brunt.
One of the industries to be affected by this will be the insurance industry. Driverless cars will become a reality to the consumers once it has been established that they are perfect regarding safety. There cannot be a window for error as opposed to the acceptance for human errors as this can cause catastrophic effects. There will not be a need to insure against motor vehicle accidents once the autonomous vehicles pass the safety test in due time. Financial income for motor insurance companies and car accidents lawyers will be lost.
The realization will also affect people who drive as a profession. In fact, this has already been announced by the CEO of Uber that, should the technology be available, all the drivers will be replaced with automation. 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. The technology will require some human assistance to operate but will in due time be reduced to a minimal number.
Another sector that will feel the impact of this advancement is the hotel industry. Over the past few years, this industry has been affected, and this doesn’t look any better. 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. However, with driverless cars, people won`t have to stop over just one night or step into a motel when they get tired when driving from place to another. Travellers will rather stay in the vehicles throughout the night for the night. They will spend less time and money in the process which is important.
Airline businesses are among the enterprises that will have profit losses. This will mostly affect the airlines that specialize in domestic flights. People normally use airplanes to fly domestically so as to save on time spent on the road and to get tired. A traveler that uses a driverless car is guaranteed of a safe journey, and thus they also have enough time to prepare for meetings.