4 ms·
The upper bound on how much "driving continuously" is worth is a 2x labor price tag (two drivers per truck taking turns).
by MauranKilom 5y ago
The upper bound on how much "driving continuously" is worth is a 2x labor price tag (two drivers per truck taking turns).
- HPsquared 5y agoIsn't that more of a lower bound? You're assuming the drivers can each drive 12 hours at a time, and they wouldn't ask for any increased pay for the worse conditions (having to be continuously on the move, sleeping on the move).
- HWR_14 5y agoContinuously on the move/sleeping in the move is a benefit for truckers. It's not a cost. The issue is, if we are already labor constrained, what is 2x the new going rate for drivers with a sudden doubling in demand. That said, the benefits also assume that for some reason the only time the goods are idle is on a truck, which makes no sense in many cases.
- lotsofpulp 5y agoThere is a decent cost of volatility of labor that humans have that machines do not, as well as reduced liability. Machines are more predictable.
- Ericson2314 5y agoSure, but that is icing on the cake. The fact of the matter is we are demand-constrained, so a new tech supply bonanza is a very risky thing. It is essential the holy grail self-driving trucks can compete on cost before/while more demand from its elasticity is "unlocked".
- lotsofpulp 5y agoI meant to imply the upper bound is higher than 2x the labor costs of a single truck driver.
- coryrc 5y agoNo, owning only half the number of tractor trailers is half the cost of capital (bond interest rate or loans or so on) is a cost savings. Plus a single driver can't go 12 hours a day any day of the week, let alone continuously.