How Uber S Autonomous Cars Will Destroy 10 Million Jobs And Reshape The Economy By 2025

Topics: Automobile, Million, Truck Pages: 2 (418 words) Published: March 25, 2015
How Uber’s Autonomous Cars Will Destroy 10 Million Jobs And Reshape The Economy by 2025

Since the beginning of the company, Uber has been consistently growing. This app based company took the industry by surprise. Not only did it revolutionize how someone gets a taxi, it also allowed independent drivers to use their own car as the taxi. Autonomous cars are something out of a sci-fi movie, yet the technology is real, and could potentially leave millions of Americans without jobs. Industry experts think that consumers will be slow to purchase autonomous cars – while this may be true, it is a mistake to assume that this will impede the transition. Morgan Stanley’s research shows that cars are driven just 4% of the time,5 which is an astonishing waste considering that the average cost of car ownership is nearly $9,000 per year. The effects of the autonomous car movement will be staggering. PricewaterhouseCoopers predicts that the number of vehicles on the road will be reduced by 99%, estimating that the fleet will fall from 245 million to just 2.4 million vehicles. Ancillary industries such as the $198 billion automobile insurance market, $98 billion automotive finance market,$100 billion parking industry, and the $300 billion automotive aftermarket will collapse as demand for their services evaporates. We will see the obsolescence of rental car companies, public transportation systems, and, good riddance, parking and speeding tickets. But we will see the transformation of far more than just consumer transportation: self-driving semis, buses, earth movers, and delivery trucks will obviate the need for professional drivers and the support industries that surround them. The Bureau of Labor Statistics lists that 884,000 people are employed in motor vehicles and parts manufacturing, and an additional 3.02 million in the dealer and maintenance network. Truck, bus, delivery, and taxi drivers account for nearly 6 million professional driving jobs. Virtually all of...

Cited: Kanter, Z. (2015, January 27). CBS San Francisco. Retrieved February 5, 2015, from Sanfrancisco.cbslocal:
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