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I agree that the economics here are interesting. I think it's useful to consider firstly car sharing, without the autonomous aspect. I think it's a pretty com
by __d 7y ago
I agree that the economics here are interesting. I think it's useful to consider firstly car sharing, without the autonomous aspect.
I think it's a pretty compelling argument for many car owners whose capital is otherwise tied up in a mostly unproductive asset. Particularly in the case where you end up paying for parking during some of this unproductive time.
For the service provider, I think ultimately you're looking at the cost of supplying a vehicle to transport your customer. Where the car is shared, can that cost be lower than if it's a dedicated vehicle? I think it can, because for car owners willing to share, any income is a bonus. It just has to be enough to overcome any inconvenience to make it worthwhile.
And I think that's the point that your "cottage industry" comment misses: the costs of capital and maintenance are immaterial to the service provider. All they need to pay to overcome is the inconvenience and any psychological "yuck" factor.