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Old 05-07-2017, 10:36 AM   #89
GGG
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Quote:
Originally Posted by Street Pharmacist View Post
Think of it as I posted above. What's the biggest cost to Uber? People.

Remove people, increase capacity and scale and it's quite cheap. Your car sits for over 90% of it's life (higher for most people), yet still costs you for insurance, cost of the vehicle itself, maintenance, tires, fuel, etc. If you cut insurance down by 90% (autonomous cars would likely reduce accidents by at least this amount), split the rest (excluding fuel) by the other 9 people riding the car. You also don't have to pay for the driver. That $9 uber ride now has a cost of a couple bucks at most.
The cost spilt depends on whether the maintenance costs of a car are driven by per km or per day. In my opinion most costs are driven by a per km affect. Therefore 9 people using 1 car will not be dramatically more expensive than just owning your own self driving car. The capital cost would be the main difference.

The other break down in this model is rush hour. Everyone needs a car in rush hour so for this model to work you'd need enough cars to service peak demand therefore 80% of the cars on unused for 20Hrs per day.

So your back to this service only working for those who are using transit or bikes to work or working from home.
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