"The Model 3 will cost $35,000, and allow drivers to make automated, passive income by having their car drive people around while they're at work or something.

"The Model 3 will cost $35,000, and allow drivers to make automated, passive income by having their car drive people around while they're at work or something. Why buy an ordinary car and drive it yourself when you can buy a slightly more expensive car and essentially collect rent?" And...why does Tesla need to sell the car in order to rent it to anyone that needs a ride? The car could be an autonomous rent-gathering vehicle that roams the world 24/7 (well, going to a charging station for a few hours each day, or in between rides). Cars don't need owners, if they can drive themselves, and if the car maker owns the infrastructure (or makes agreements) to recharge them. Presumably Tesla cars already have the ability to detect most major failures and could thus go to the shop for repairs without human intervention. Whichever car manufacturer figures out electric self-driving cars can own the taxi market, if they want it. They won't even need buyers anymore, assuming they have enough capital to put a fleet on the road.