Since Uber’s creation in 2009, the adoption of the company’s mobile app-based transportation service has exploded and the service is now available in 56 countries and over 200 cities worldwide. In fact, it was recently reported that there are now more Uber cars than yellow cabs in New York City. With nearly $3 billion in total funding raised by 2015, Uber is looking to expand its business into the growing electric vehicle (EV) and autonomous vehicle markets.
Offering local customers emissions-free transportation options, Uber has partnered with BYD to provide electric e6 taxis in Chicago. Uber drivers have the option to rent the e6 taxis from the Green Wheels USA dealership for $200 a week, and Uber customers will be able to choose an EV through the smartphone app when booking a vehicle. This new option gives users added flexibility in their riding choices, and more cities around the United States can expect Uber EVs as an option in the near term.
So Long, Driver
Likely to be more disruptive than the introduction of EVs, autonomous vehicles could have a much more notable impact on Uber’s business. In February 2015, Uber announced that it is setting up a laboratory in Pittsburgh to develop self-driving technology. In partnership with Carnegie Mellon University, the company will reportedly be developing the core autonomous technology, the vehicles, and associated infrastructure at the Pittsburgh facility. Uber CEO Travis Kalanick has stated in the past that he would gladly replace human drivers with a self-driving fleet of vehicles, as Uber drivers reportedly take home about 75% of every fare.
Beyond massive savings on costs for Uber, and potentially its customers, autonomous vehicles would make Uber a much safer service—not just in terms of smoother running vehicles with (likely) fewer accidents, but also in terms of the well-being of the passengers. Uber has come under intense scrutiny as of late, as accusations of assaults on passengers by Uber drivers have come from numerous customers from a variety of countries. While Uber does conduct background checks on its drivers, prosecutors in California are suing the company for alleged exaggeration regarding the rigor of its background checks.
Navigant Research’s report, Autonomous Vehicles, projects that globally, close to half of all new vehicles sold in 2035 will have some form of autonomous driving capability installed. Uber may have autonomous vehicles on the road even sooner, which would go a long way toward ensuring safer driving and safer environments for customers who would no longer have to consider the possibility of a dangerous driver.
Tags: Autonomous Vehicles, Clean Transportation, Electric Vehicles, Transportation Efficiencies
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