3 ms·

I think we're not anywhere near a level where a car could drive fully autonomously just with the local hardware, without a detailed data set of all the roads an

by jusssi 5y ago

I think we're not anywhere near a level where a car could drive fully autonomously just with the local hardware, without a detailed data set of all the roads and real-time updates on conditions. That data set needs to be continuously maintained. Also, they'll probably need a liability insurance for cases when their autonomous car inevitably gets in a situation where it has to choose between killing it's passengers or killing someone outside the car. Of course, they could offer a pricing model where all that is paid up front, but I doubt it would be very attractive.

ghaff 5y ago
One argument in favor of subscriptions is that they align the interest of the consumer and the company. With an up-front payment model, the company has no particular interest, besides customer loyalty/reputation/etc., in providing continued updates/support for older models. (Which is sometimes enough--as with Apple in many cases, but often is not as with many IoT devices.) With a subscription model they do so long as subscription revenue exceeds costs.
- Danieru 5y ago
  Cool, so they would refund the full price of the car if people are no longer happy with it? Or would the 20K+ car just serve as strong vendor lock to be exploited in subscriptions?
  - ghaff 5y ago
    That assumes that the subscription is for the entire car. But that's pretty much what a lease is. And that's what a lot of people do. They pay a premium for a new car that they're only locked into for 3 years or so.
    - iso1210 5y ago
      And its a great model for people who want a known payment of $x and don't want to take on the risk/reward of deprecation, maintenance, resale, etc. Unlike with say housing, which sits on land which appreciates in value at a rate and has a high cost of moving (monetary and personal), a typical car for the majority of people is a means to an end which just sits their and deprecates. The cost of changing to a new car is a few minutes reprogramming the radio and seats. Ultimately what most people want is transportation which costs a reliable x¢ per mile at a given level of convienience, reliability and comfort. Cars are hardly a winner takes all business or one with little competition - there's at least a dozen major manufacturers.

by jusssi 5y ago

ghaff 5y ago

One argument in favor of subscriptions is that they align the interest of the consumer and the company. With an up-front payment model, the company has no particular interest, besides customer loyalty/reputation/etc., in providing continued updates/support for older models. (Which is sometimes enough--as with Apple in many cases, but often is not as with many IoT devices.) With a subscription model they do so long as subscription revenue exceeds costs.

Danieru 5y ago
Cool, so they would refund the full price of the car if people are no longer happy with it? Or would the 20K+ car just serve as strong vendor lock to be exploited in subscriptions?
- ghaff 5y ago
  That assumes that the subscription is for the entire car. But that's pretty much what a lease is. And that's what a lot of people do. They pay a premium for a new car that they're only locked into for 3 years or so.
  - iso1210 5y ago
    And its a great model for people who want a known payment of $x and don't want to take on the risk/reward of deprecation, maintenance, resale, etc. Unlike with say housing, which sits on land which appreciates in value at a rate and has a high cost of moving (monetary and personal), a typical car for the majority of people is a means to an end which just sits their and deprecates. The cost of changing to a new car is a few minutes reprogramming the radio and seats. Ultimately what most people want is transportation which costs a reliable x¢ per mile at a given level of convienience, reliability and comfort. Cars are hardly a winner takes all business or one with little competition - there's at least a dozen major manufacturers.