And So We Drive
Hyundai and Aptiv today announced a $4 billion joint venture for autonomous driving.
The major manufacturers are playing an expensive game of musical chairs when it comes to self-driving. There is a ton of redundant money being spent right now, because no one knows precisely when autonomous driving will be realized, and no one wants to be the odd-manufacturer-out when that day comes.
Autonomous driving research has a big bets, winner-takes-all structure that’s very different from the continuous improvement that characterizes the automotive industry. You could say that it’s more like the tech industry, but even there, most bets aren’t in the billions of dollars.
The race for autonomous driving is more like the race to find the next blockbuster drug in the pharmaceutical industry.Permalink