Tag Archives: Lyft

Six Reasons Why Electric Vehicles and Autonomous Vehicles Will Inevitably Merge

As the automotive industry evolves, two major innovations have emerged almost in parallel – increased electrification, peaking in fully electric vehicles (EVs), and increased driver assist features, peaking in the (not yet achieved) idea of self-driving cars (client registration required for both). A common question we receive is whether these two must be combined: Must self-driving cars be electric? The short answer is no – or, more accurately, not yet. It will be possible to make a competent self-driving car using older internal combustion engine (ICE) technology as the power source that drives the wheels. However, there are six good reasons why it is most likely that self-driving cars will be overwhelmingly electric – that is, six reasons why the two technologies will “merge”: Continue reading

Apple Invests in a Ride-Sharing Company; Is a Car Manufacturer on the Horizon, as Well?

Last week ended with Apple announcing a $1 billion investment in the Chinese ride-sharing company Didi Chuxing. Didi Chuxing is Uber’s biggest competitor in the Chinese market. Apple’s investment is meant to act as a chance for Apple to learn more about Chinese market segments. The investment would also be a key component in Apple’s rumored self-driving vehicle project.

With each new partnership or investment announcement, an ecosystem within the autonomous vehicle space is developing that consists of three key components: autonomous vehicle technology development, the emergence of new business models, and manufacturing of vehicles. To survive in this evolving ecosystem, companies must be able to touch all three of these points. It isn’t feasible for any one company to hit all three of these by itself, though; companies operating in this space are looking for relationships with other companies to be able to fill any gaps. A recent example of this is the automaker GM, investing in the ride-sharing company Lyft, and in the process of acquiring the autonomous vehicle technology developer Cruise (client registration requred). Lux recently wrote a report (client registration required) comparing automotive OEMs and the companies that were lagging behind were the ones that chose to ignore one of these components, like Audi and its conservative approach to technology implementation or Renault Nissan and its lack of self-driving vehicle technology.

Apple’s recent investment shows that it is taking the autonomous vehicle space very seriously, even if it hasn’t openly stated that it is working on this technology. But for Apple to consider approaching the rest of the pack, there is still a critical question remaining: who will make its cars? Previously, Daimler and BMW both rebuffed Apple’s advance, likely due to arguments over data ownership and Apple’s notoriously demanding requirements from its partners. Clients can expect tech companies operating in the autonomous vehicle space to look elsewhere for the vehicle manufacturing piece of this new – and still developing – ecosystem. If an automotive OEM isn’t an option, Apple will need to look toward tier-ones with experience manufacturing vehicles.

By: Kyle Landry