Photo: Ford Motor Company
Self-driving, electric cars are seen as the answer to most current problems with the auto industry. While that still remains to be seen, Ford would like you to know that, as far as concerns about decreased demand in cars with the introduction of fully autonomous cars go, they are not founded.
In an interview with The Telegraph, John Rich, Operations Chief of Ford Autonomous Vehicles, discussed the widely circulated opinion that demand for cars will begin to decrease and eventually disappear in the future. Individual car ownership may wane, but not demand for cars in general, he says.
That can’t possibly happen, not when they’re thinking their self-driving cars will have a lifespan of only 4 years.
“The thing that worries me least in this world is decreasing demand for cars. We will exhaust and crush a car every four years in this business,” Rich says. “Every shred of evidence we’ve seen says that as you drive down cost per mile, the miles traveled goes up. You start to help underserved populations, you start to move a lot more people.”
To compare, the current lifespan of NYC taxis was of 3.8 years in 2017, while an average U.S. car owner hangs on to his vehicle for about 12 years before switching, TechCrunch says. In 2002, average ownership was of 9.6 years. With that in mind, 4 years is a very short time.
There’s a caveat, though: Rich is not thinking of individually owned vehicles. Right now, Ford is working towards a 2021 production start date for autonomous vehicles, which will be part of fleets used for delivery and ride-share services and, as such, will see maximum wear and tear. They’re also aiming to match Tesla’s battery pack extended mileage of 1 million miles, according to unconfirmed reports in the industry.
That can’t possibly happen, not when they’re thinking their self-driving cars will have a lifespan of only 4 years.
“The thing that worries me least in this world is decreasing demand for cars. We will exhaust and crush a car every four years in this business,” Rich says. “Every shred of evidence we’ve seen says that as you drive down cost per mile, the miles traveled goes up. You start to help underserved populations, you start to move a lot more people.”
To compare, the current lifespan of NYC taxis was of 3.8 years in 2017, while an average U.S. car owner hangs on to his vehicle for about 12 years before switching, TechCrunch says. In 2002, average ownership was of 9.6 years. With that in mind, 4 years is a very short time.
There’s a caveat, though: Rich is not thinking of individually owned vehicles. Right now, Ford is working towards a 2021 production start date for autonomous vehicles, which will be part of fleets used for delivery and ride-share services and, as such, will see maximum wear and tear. They’re also aiming to match Tesla’s battery pack extended mileage of 1 million miles, according to unconfirmed reports in the industry.
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