Self-driving vehicles could possibly ravage future car sales, if the hypothesis is true, the auto industry would be over…

The next quarter century is very important for the auto industry and one can say that it will define the future of the business. Car sharing services and self-driving cars are joining the party in a couple of years and it will likely to decimate the auto industry in the United States at first stage and then in the world. It will not take the centuries but the next quarter will be enough.

A report from Barclays Capital warns that the auto industry is going to face a decrease of almost 40 percent in sales in next 20 years. This drop will have serious consequences for the supply chain of the car industry.

The requirements of multiple vehicles in a family will be decreased as the Google self-driving car is capable of pick-ups and drop-offs from different locations by its own. It will offer very cheap car sharing service and will be enough for a family with different interests. It is also confirmed by the Disruptive Mobility report of the company. This report also confirms that the self-driving car could replace as many as nine cars at the same time and it will be enough for nine different jobs.

Automakers with higher volume of sales will suffer from the introduction of autonomous cars. In the first phase, pick-up trucks, large vans and light commercial vehicles may be less susceptible because it is not yet confirmed that when the commercial vehicles will be shifted on the self-driving. The researchers also believe that the car sharing and autonomous driving will put a lid on the prospects of the companies like Ford and General Motors.

This automation will endanger the supremacy of the Taxi drivers in future because the robot taxis will replace the current system. Although it is not mentioned in the Barclays report but it is predicted that if the autonomous technology takes over the trucking industry then more than 3.5 million truck drivers could suffer from unemployment.

So, all these factors are alarming for the industry but somehow beneficial for the general public because it will reduce the cost of living by having one car rather than nine.

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