The financial website Motley Fool has analysed Alphabet/Google’s Waymo driverless car project and identified some key tactics to improve its chances of long-term success.
The website’s analysis points to its ride hailing partnership with Avis, its work with Valley Metro in Phoenix to fulfil Last Mile requirements (pictured) and its purchase of 62,000 minivans from Fiat Chrysler and up to 20,000 cars from Jaguar Land Rover for its self-driving car service as evidence of a multipronged approach to self-driving services.
The site says this tactic is important because, since none of these businesses is guaranteed to work, Waymo is doing the research right now to determine how people will use self-driving vehicles so it can take that knowledge and launch services on a grander scale down the road. Motley Fool adds that in teaming up with cities and public transportation authorities, gives Waymo “a foot in the door” to getting state and local governments to understand, and ultimately approve driverless vehicles for large-scale public use.
“Waymo isn’t making any significant money for Alphabet right now,” it concludes. “But Alphabet investors should know that driverless cars, mobility services, and autonomous trucking will make up an estimated combined $10 trillion market in the coming decades. Ride-hailing services like the one Waymo is developing will account for more than half of the broad driverless car market.”