Autonomous Cars Will 1st Be in Inner City Islands

Eighty four percent of global respondents and 83% in the U.S. expect autonomous vehicles to be introduced in “islands of autonomy,” metropolitan markets with unique mixes of consumer living, working and travel patterns which will drive requirements for locally tailored delivery services according to the 2019 KPMG Global Automotive Executive Survey.

The KPMG Research which polled nearly 1,000 executives (including 110 in the United States) from leading automotive companies found:

  • Sixty four percent of global OEMs and 63% in the U.S. expect self-driving cars to be fully functional in mature markets by 2030
  • Seventy three percent of global OEMs and 84% of U.S. respondents say within the next decade traditional public transport will be replaced by new on-demand autonomous services.
  • However connectivity and digitalization has returned to first place again with the highest ratingof 59%

Mobility Services Impact Consumer Patterns
In conjunction with the executive survey, KPMG also surveyed 2,000 consumers from 40 countries (178 from the United States) to compare their perspectives. When it comes to consumer expectations for the roll out of autonomous vehicles there were significant differences between global consumers and those based in the U.S.

  • Eighty three percent of global consumers believe in the islands of autonomy, which closely mirrors global OEMs, however only 58% of U.S. respondents agree, compared to 83% of U.S. OEMs.
  • When asked if delivery services and online shopping have changed their mobility patterns and needs over the last few years, 85% of global respondents said it had a little bit or completely compared to just 64% of U.S. respondents.

“Autonomous delivery vehicles will take trends begun by e-commerce and drive them forward at an unprecedented rate,” said Tom Mayor, KPMG’s strategy lead for Industrial Manufacturing. “Consumers will reduce their personal miles traveled for shopping as the delivery of goods will be requested with the push of a button and executed as quickly as the same hour. The result will be a monumental change in consumer behavior — and a global transformation for the retail, automobile and transportation industries.”

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