It's not just self-checkout, but things like vending machines (big in Japan, will eventually be big everywhere else; this is starting to occur now with DVD rent

It's not just self-checkout, but things like vending machines (big in Japan, will eventually be big everywhere else; this is starting to occur now with DVD rental vending machines) and robot warehouses (Kiva already does pretty well with this). Also Amazon and Netflix. Their warehouses may not be run by robots, but are extremely automated. This also applies to food - there's no reason automats can't make a comeback. I also don't doubt for a second that one of the first things Google will do with self-driving cars is automate the trucking industry. You're absolutely right about people not being very expensive though. Labor costs actually make manual manufacturing in China less expensive than in fully roboticized factories in Japan or the USA for many things.