Of course, Wall Street is thinking money. $285 billion:
Goldman Sachs Group Inc. predicts that robo-taxis will help the ride-hailing and -sharing business grow from $5 billion in revenue today to $285 billion by 2030. There are grand hopes for this business. Without drivers, operating margins could be in the 20 percent range, more than twice what carmakers generate right now. If that kind of growth and profit come to pass—very big ifs—it would be almost three times what GM makes in a year. And that doesn’t begin to count the money to be made in delivery.
A host of Frisco dignitaries and developers and of course Frisco Mayor Jeff Cheney, a Realtor with The Associates, were on hand to celebrate with a press conference and then
driving riding demos. The biggest takeaway: this is a brilliant PR move to not only collect AI data (keep reading, I explain) but to get people more comfortable with the driverless car concept. As TexasMonthly.com pointed out, “Starting in Frisco is likely to give Drive.ai enough data for how suburban North Texas drivers operate that they’ll be able to spread out across the region. That’s no small deal when you’re talking about the fourth-largest metropolitan area in the country, and makes the Frisco test an effective pilot program for how autonomous cars are likely to roll out across North Texas.”
“Today definitely marks a mobility milestone for our entire region, said Jeff. “It also gets us closer to achieving one of our council’s ‘Top Ten’ goals, which is to improve traffic throughout Frisco, one of the fastest growing cities in the country.”
Drive.ai is headquartered in Mountain View, Ca. in Silicon Valley. The company has raised more than $60 million, has more than 100 employees, and was founded by graduate students out of Stanford University’s Artificial Intelligence Lab. Andrew Ng, who spoke at the presser, said he studied at Carnegie Mellon, which is where a lot of driverless car talent has been hatched.