Waymo starts commercial ride-share service

Geoff Robins | AFP | Getty Images
John Krafcik, CEO of Waymo speaks at a press conference at the 2017 North American International Auto Show in Detroit, Michigan, January 8, 2017.

After months of testing and millions of miles developing self-driving vehicle technology, Waymo has officially launched the country's first commercial autonomous ride-share service.

The company's Waymo One program will give customers rides in self-driving vehicles 24 hours a day. Initially, the service will be limited to cities surrounding Phoenix, including Tempe, Mesa and Chandler.

While there may be many potential customers who want to ride in an autonomous vehicle, the Waymo One service will initially be offered to a limited number of people. Those customers will include hundreds of people in the Phoenix area who were test users of the Waymo self-driving vehicle fleet that has been in development since April 2017.

“Self-driving technology is new to many, so we're proceeding carefully with the comfort and convenience of our riders in mind,” said Waymo CEO John Krafcik. One example of Waymo taking a cautious approach rolling out its ride-share service is the company's use of safety drivers to supervise the rides, at least initially. In addition, the company's app and consoles in the Waymo One vehicles will allow riders to instantly connect with support agents who can assist riders with questions.

Alphabet's Waymo One marks the start of the race by automakers, tech companies and other firms to launch autonomous ride-share services. General Motors subsidiary Cruise plans to launch a similar service using self-driving vehicles next year.

What's driving the competition? The pursuit of greater profits. Studies of have shown the biggest cost for ride-share operations is the expense of paying a driver. General Motors estimates it costs ride -share companies more than $3 per mile in San Francisco. However, GM believes that cost could drop to roughly $1 per mile by 2025 with driverless vehicles in ride-share fleets.

Waymo has said it expects the cost to consumers for using Waymo One to be competitive with Uber, Lyft and other ride-hailing services.

The future of the auto industry lies in car sharing, Chinese executives say

Dave Zhong/Getty Images for CNBC International
Freeman H. Shen, Founder, Chairman & CEO of WM Motor, speaks during Fireside Chat on Day 2 of CNBC East Tech West at LN Garden Hotel Nansha Guangzhou on November 28, 2018 in Nansha, Guangzhou, China.

Several Chinese auto and transportation industry leaders are preparing for a future in which people share cars, rather than own them individually.

“(The new generation), they're not interested in the ownership. They're probably more interested in accessibility,” Freeman Shen, founder and CEO of Chinese electric car company WM Motor, said last week at CNBC's East Tech West conference in the Nansha district of Guangzhou, China.

Technological advances in the last several years have aided the rise of multibillion-dollar ride-hailing giants such as Uber and Didi. They, in turn, have challenged the traditional taxi driver system and cultivated a habit of on-demand car services for tens of millions of users globally despite ongoing safety concerns. Traditional automakers, many already trying to navigate rising interest in the electric vehicle market, are paying close attention to the ride sharing trend. Notably, General Motors is testing the waters with its own rental program.

In China, Feng Xing Ya, general manager of Guangzhou-based automaker GAC, also said the future of the auto industry lies in car sharing.

“(It's) a challenge for the auto industry because people may buy fewer cars,” Feng said in Mandarin, according to a CNBC translation, during a Nov. 27 conference session.

Without giving much detail on a plan, Feng said he favored a strategy of entering — rather than avoiding — the car sharing economy, which he said can still generate a lot of income for a company.

However, such a rapid change in consumer tastes could give start-ups an advantage.

Shen, formerly a director at Fiat Chrysler and Chinese automaker Geely, said traditional automakers are too focused on selling cars rather than improving user experiences. He said his company's focus on software and newness to the market means he has everything to gain and little to lose from a shift to ride sharing.

Shen founded WM Motor — which stands for “world champion” in German — in 2015 and the company has received more than $1 billion in funding, according to Crunchbase.

The rise of car sharing may also lead to new kinds of living environments in China as Beijing tries to encourage technological and urban developments through “smart cities.”

“If we can allocate the seats instead of vehicles … then we can use the transportation system more efficiently,” Henry Liu, vice president, chief scientist of smart transportation at Didi, said during a conference session.

“If you think about the future city, I think the future city will have much less in terms of parking spaces, road spaces, because we don't really need that much of spaces for vehicles,” Liu said. “At that moment, I think we have an autonomous vehicle fleet. And they can serve the transportation demand.”

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Lyft Acquires Bike-Share Company and Inks Deal With N.Y.C. – Fortune

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Europe’s ride-hailing companies aren’t scared of Uber

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Top Automotive Industry News for Week of October 29 – November 4, 2018

Here is the most important news associated with the automotive industry
identified by the AEA for the week October 29, 2018 -November 4, 2018.

We hope it helps you stay up to speed on the key developments in our
industry:

-Automotive Manufacturing News-

Every Mid-Size Luxury Crossover and SUV Ranked from Worst to Best

(Car and Driver)

Faraday Future's Rough Road: Funds Sought As Cofounders Depart, Workers
Furloughed

(Forbes)

Ford could provide a 40% return in the year ahead as restructuring
takes hold, Goldman says

(CNBC)

GM memo: We must cut costs, can't wait to see what happens in industry

(Detroit Free Press)

GM Throws Weight Behind Nationwide Electric-Car Quota

(Cars.com)

GM to offer buyout to some workers in cost-cutting move: DJ

(CNBC)

Jaguar Land Rover undergoes $3.2 billion turnaround plan as sales slump

(autoblog)

Tesla electric vehicles will park themselves in 2019, Elon Musk says

(USA Today)

Tesla’s third-largest shareholder says it’s willing to pump more money
into the company

(CNBC)

The brutal and extreme tests Ram, Ford, Chevy run on trucks

(Detroit Free Press)

US regulators subpoenaed Tesla Model 3 production forecasts, data

(USA Today)

Volvo and Baidu join forces to mass produce self-driving electric cars
in China

(CNBC)

-Automotive Evolution News-

Cadillac cancels its car subscription program after just two years

(autoblog)

Ford, Volkswagen explore driverless venture to challenge Tesla, Waymo

(MarketWatch)

GM is making e-bikes as it expands beyond cars

(autoblog)

Hyundai, Kia Motors to develop new solar charging tech for vehicles

(Reuters)

Uber details why its driverless SUV killed a pedestrian and how it's
working to fix safety problems

(LA Times)

Uber says it's ready to start testing self-driving cars again

(Mashable)

VW and Intel's Mobileye Will Launch Autonomous Ride-Hailing Service In
Israel Next Year

(Forbes)

Waymo Gets California's Okay For Human-Free Driving Tests As Robo-Car
Skepticism Rises

(Forbes)

-Automotive Retail News-

5 hottest-selling U.S. vehicles in October: Tesla, Toyota, Subaru make
the list

(USA Today)

FCA, Honda and VW Lead October Auto Sales

(The Detroit Bureau)

GM Financial: More Loans, Fewer Leases in Q3

(Auto Dealer Monthly)

Luxury car owners trade up for American pickups as Ford, GM and Dodge
trucks dominate market

(CNBC)

New Vehicle Prices Continue to Rise in Fourth Quarter

(The Detroit Bureau)

Rising interest rates and prices hurt October auto sales, with SUVs
still faring better than cars

(USA Today)

Rising interest rates pinch U.S. auto sales, consumer confidence

(Reuters)

Vehicle sales reached 11-month high in October

(MarketWatch)

-Automotive Wholesale News-

Car Depreciation Reaches 10-Month High

(Vehicle Remarketing)

Lane watch: Wintry chill hits wholesale prices

(Auto Remarketing)

-Automotive Ownership News-

A Comfortable Place to Spend 38,000 Hours Behind the Wheel

(The New York Times)

-Automotive Enthusiast News-

140-car collection headed to Mecum’s Las Vegas auction

(ClassicCars)

Here are the most Googled car brands of 2018

(autoblog)

-Automotive Servicing News-

AAA offers free Lyft rides to and from repair shops

(autoblog)

New car safety technology saves lives — but can double the cost of
repairs

(NBC)

Stalling prompts recall of 2019 Jeep Cherokees with 2.4-liter engines

(Detroit Free Press)

Subaru, Toyota recall 165,000 U.S. cars with defect that could lead to
engine stalling

(USA Today)

-General Business & Executive News-

Broadcom makes $1 billion patent claim against Volkswagen: Der Spiegel

(Reuters)

New Autotrader Experience Helps Car Shoppers Accelerate Their Deal, Buy
Faster From The Palm of Their Hands

(PR Newswire)

U.S. Auto Industry's October Surprise

(Forbes)

With $50M investment, AutoNation obtains 7% stake in Vroom

(Auto Remarketing)

-AEA Reminder-

Did we miss something? Let us know via our

Contact Us Page >>

. If you have specific important news going public soon that you would like
to share with your fellow AEA Members, submit your

PR Distribution Request >>

Have a great week,

Member Services

memberservices@automotiveexecutives.com

Automotive Executives Association

www.automotiveexecutives.com

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Deputy Raises $81M in Series B Funding Round

Deputy, an Australian provider of a workforce management software platform, closed an $81m Series B funding. The round, which brought total funding raised to date to $106m, was led by IVP, with participation from OpenView, Square Peg Capital and EVP. The company intends to use the funds to accelerate growth, develop new products and build… Continue reading Deputy Raises $81M in Series B Funding Round

Top Automotive Industry News for Week of November 5 – November 11, 2018

Here is the most important news associated with the automotive industry
identified by the AEA for the week of November 5, 2018 -November 11, 2018.

We hope it helps you stay up to speed on the key developments in our
industry:

-Automotive Manufacturing News-

First ex-UAW official sentenced in FCA-related scandal; gets 1 year

(Detroit Free Press)

Ford plans construction on Michigan Central Depot by year's end

(Detroit Free Press)

Former Tesla employee charged with embezzling $9.3 million from Elon
Musk's company

(MarketWatch)

Is Toyota Next to Pare Back its Passenger Car Line?

(The Detroit Bureau)

Tesla picks an insider to be chairwoman, fueling doubt Elon Musk will
be reined in

(LA Times)

The gas engine still has a long life to live, Aston Martin CEO says

(CNBC)

VW planning $21K EV to challenge Tesla

(The Detroit News)

VW takes another shot at compact pickup market

(The Detroit News)

White House, California to discuss vehicle emissions rules next week

(autoblog)

Why GM is moving 3,000 workers from Pontiac to Warren

(Detroit Free Press)

-Automotive Evolution News-

8 concept cars that show how technology will dominate the drive of the
future

(CNBC)

Autonomous Cars Face Big Hurdles; They Will Succeed, But When?

(Forbes)

Daimler And Bosch Choose San Jose For Their Silicon Valley Robo-Taxi
Service

(Forbes)

GM's future lineup will run on electricity, drive itself — and fly

(Detroit Free Press)

Mercedes-Benz, Bosch to offer self-driving car rides in San Jose,
California

(USA Today)

Tesla Drivers Report Autopilot Disengaging While Driving Due To
Software Bug

(Forbes)

This Robot Truck Startup May Have An Edge Over Waymo In Bad-Weather
Driving

(Forbes)

Uber rival Taxify says it can grow 100 times bigger in the scooter and
ride-hailing market

(CNBC)

Uber ups its driver perks with 'Pro' program, including free college
education

(USA Today)

-Automotive Retail News-

Better inventory listings, lead management anchor more sales

(Auto Remarketing)

CarGurus Helps Dealerships Solve for Attribution with More Insight

(PR Newswire)

Dealertrack Looks to Speed Car Buying Process

(Auto Finance News)

Jumpstart: Car Buyers Want to Negotiate

(Auto Dealer Monthly)

Lithia and Shift to operate separately and share technology

(Auto Remarketing)

Luxury car owners trade up for American pickups as Ford, GM and Ram
trucks dominate market

(CNBC)

Millennials Spending Big on Cars — With Auto Loans to Match

(The Detroit Bureau)

Used car payments hit record $400 per month as prices top $20,000

(USA Today)

Used-Car Prices Reach 13-Year High in Third Quarter

(Vehicle Remarketing)

Used Vehicle Prices Rising, Pushing Buyers to Look at Leasing

(The Detroit Bureau)

-Automotive Wholesale News-

Compact Van Values Dip at Start of November

(Vehicle Remarketing)

-Automotive Ownership News-

Where your car is most likely to be stolen in every state

(USA Today)

-Automotive Enthusiast News-

Inside the World's Most Valuable Hot Wheels Collection

(Car and Driver)

With millions at stake, car collectors scour Earth for lost classics

(Detroit Free Press)

-Automotive Servicing News-

Mazda to recall 640,000 vehicles globally over diesel engine issue

(Reuters)

Subaru recalls nearly 400K vehicles to fix stalling problems

(Detroit Free Press)

U.S. agency probes 1.7 million GM SUVs over wiper failures

(Reuters)

-General Business & Executive News-

CDK Global Names Brian Krzanich President and Chief Executive Officer

(CDK)

Ford buys electric scooter startup Spin, joining competitors Bird and
Lime

(USA Today)

Harley-Davidson's electric motorcycle signals a big change for the
legendary, but troubled, company

(CNBC)

Tesla’s Booming Model 3 Sales and More This Week In The Future Of Cars

(Wired)

Time Dealer Of The Year

(Automotive News)

VW Considers Investing in Ford-Backed Autonomous Unit Argo

(Bloomberg)

-AEA Reminder-

Did we miss something? Let us know via our

Contact Us Page >>

. If you have specific important news going public soon that you would like
to share with your fellow AEA Members, submit your

PR Distribution Request >>

Have a great week,

Member Services

memberservices@automotiveexecutives.com

Automotive Executives Association

www.automotiveexecutives.com

Elon Musk Is Right: LiDAR Is a Crutch (Sort of.)

By Luis Dussan

Tesla founder Elon Musk recently declared that LiDAR is a “crutch” for autonomous vehicle makers. The comment sparked headlines and raised eyebrows in the industry. Given that this vision technology is the core of many companies’ self-driving car strategies, his view strikes many as anathema or just plain nuts.

But for the moment, let’s ignore the fact that LiDAR is vital to self-driving cars from GM, Toyota and others. Forget that the most advanced autonomous vehicle projects have focused on developing laser-sensing systems.

Even disregard that the alleged theft of LiDAR secrets was at heart of the legal battle between Uber and Alphabet’s Waymo. Waymo claimed that LiDAR is essential technology for autonomous vehicles and won a settlement recently worth about $245 million.

The truth is: Mr. Musk is right. Relying solely on LiDAR can steer autonomous vehicle companies into innovation cul-de-sacs.

LiDAR is not enough. Autonomous vehicles require a rapid, accurate and complete perception system. It is a system-level problem that requires a system-level solution.

My agreement with Mr. Musk may seem surprising given that our company, AEye, sees LiDAR as playing a significant role in making driverless cars a commercial reality.

But we too have realized that if autonomous vehicles are ever going to be capable of avoiding accidents and saving lives, LiDAR is not the answer. At least not by itself.

Not THE answer, but part of the answer…
At Tesla, Mr. Musk is forsaking LiDAR for a 2D camera-based vision system. While Mr. Musk is known for disruptive thinking, it is hard to escape the fact that autonomous vehicles move through a 3D world and successful navigation of that world requires the seamless integration of both 2D and 3D data precisely mapped to both time and space.

At AEye, we believe LiDAR is the foundation of the solution when it seamlessly integrates with a multi-sensor perception system that is truly intelligent and dynamic. Our research has produced an elegant and multi-dimensional visual processing system modeled after the most effective in existence — the human visual cortex.

In fact, AEye’s initial perception system, called iDAR (Intelligent Detection and Ranging), offers a robotic perception system that is more reliable than human vision. LiDAR integrates with a low-light camera, embedded artificial intelligence and at-the-edge processing to enable a car’s vision system to replicate how the human visual cortex quickly interprets a scene.
In short, iDAR enables cars to see like people.

Why this is the superior approach?
In his skepticism of LiDAR, Mr. Musk has curiously bet on a “camera-mostly” strategy when building a vision system for autonomous Tesla vehicles. He has previously made bold (many say unrealistic) predictions that Tesla would achieve full Level 5 autonomous driving with camera-mostly vision in 2019. Navigant Research, in their annual ranking of self-driving vehicle makers, says this is “unlikely to ever be achievable” and rates Tesla at the back of the pack.

The company’s Autopilot system relies on cameras, some radar, and GPS. It has suffered setbacks due to a split with its camera supplier in 2016 after a fatal accident that investigators have blamed partly on Autopilot. Last month, a Tesla smashed into a firetruck in Culver City, California, and the driver said it was “on autopilot.”

The evidence strongly argues against Mr. Musk’s decision to bet on passive optical image processing systems. Existing 2D image processors and 2D to 3D image conversion concepts have serious flaws that can only be addressed with massive computing power and more importantly — algorithms that have not been invented, and are many years away from becoming a reality. This makes this approach too costly, inefficient and cumbersome to achieve Level 5 autonomous driving at commercial scale.

At AEye we know that integrating cameras, agile LiDAR, and AI equals a perception system that is better than the sum of its parts. It surpasses both the human eye and camera alone, which is required if you don’t have the sophistication of the human brain yet replicated.

In his “crutch” comments, Mr. Musk predicted that LiDAR-based systems will make cars “expensive, ugly and unnecessary,” adding: “I think they will find themselves at a competitive disadvantage.” The truth is that size, weight, power, and cost are decreasing for vehicle navigation grade LiDAR. And they will fall further. AEye, and maybe others, will see to that.

We respect Musk’s innovations and are grateful to him shedding light on where LiDAR needs to go to reach full autonomy. But in the end, as we see LiDAR as a lever, rather than a crutch, we can only give him partial credit for his understanding of the way forward.

ALL NEWS & VIEWS
Elon Musk Is Right: LiDAR Is a Crutch (Sort of.) — AEye Introduces Groundbreaking iDAR TechnologyObserve, Orient, Decide, Act: How AEye’s iDAR System Adopts Principles of the OODA Loop to Achieve Intelligent, Long-Range DetectionAEye Introduces Next Generation of Artificial Perception: New Dynamic Vixels™AEye Announces the AE100 Robotic Perception System for Autonomous VehiclesThe Future of Autonomous Vehicles: Part I – Think Like a Robot, Perceive Like a HumanAEye Announces Addition of Aravind Ratnam as Vice President of Product ManagementCB Insights Unveils Second Annual AI 100 Companies at A-ha!AEye Granted Foundational Patents For Core Solid-State MEMs-Based Agile LiDAR And Embedded AI TechnologyGartner Names AEye Cool Vendor in AI for Computer VisionAEye Welcomes James Robnett to Executive Team as Vice President of Automotive Business Development