Greentech Media brings to attention a report by analyst firm RethinkX which predicts the death spiral of the American auto industry. Reportedly, "transport-as-a-service" (TaaS) will be able to provide cheap, reliable transportation summoned easily with a smartphone, rendering the need to own an expensive car obsolete.
For automakers, that could mean a severe death spiral, similar to the one that some predict for utilities. “Individual vehicle ownership, especially of internal combustion engine vehicles, will enter a vicious cycle of increasing costs, decreasing convenience and diminishing quality of service,” the authors write.
Car companies that continue to focus on manufacturing traditional gasoline-powered cars for traditional ownership models, as well as auto dealers and insurance companies, could face “total disruption” and “almost complete destruction.”
All car companies are well aware of these trends with electric and self-driving cars, but most are probably not expecting this kind of disruptive intensity. The report predicts sales of gasoline-powered cars, the value of used gasoline-powered cars, and car dealerships will all be utterly destroyed.
|The End of the Shopping Mall|
|"Fortifying our homes against drone incursion will be the next bull market in security."|
|"We spend a great deal of time studying history, which, let's face it, is mostly the history of stupidity."|
|"Whether in 50 or 100 or 200 years, there's a good chance that New York City will sink beneath the sea."|
|Magazines on the iPad to Be At or Near Newsstand Prices?|
|“Facebook played a 'determining role' in stirring up hatred against Rohingya Muslims.”|
|“The Pentagon’s relatively quiet tip-toe into converting the U.S. Armed Forces to a machine-majority force.”|
|“The idea is that someday in the future scientists will scan your bricked brain and turn it into a computer simulation.”|
|Future Horizon's Plasma Lightsabers|
|Japanese Robot Serves Ice Cream From Inside a Vending Machine|
|CaptchaTweet: Write Tweets in Captcha Form|
|3D Printed $10,000 House|
|“Clearly, no one is going to build weapons that have sufficient general intelligence to, for example, decide and execute a plan to take over the world.”|
|“Contains all the same components as cow’s milk, [...] but doesn’t use any animals in its production process.”|
|“New green policies so hard-hitting and extensive they can be felt across the world.”|
|The (Very Scary) People of Public Transit|
|“I am a philosopher, and we tend to deal more with nightmares.”|