Smart cities and the vehicle ownership shift
Could mobility services, new business models and the sharing economy spell the end of the private car? Megan Lampinen investigates
Smart cities are coming, bringing with them new approaches to urban mobility. The proliferation of connected mobility services, combined with the rise of highly automated driving and the sharing economy, raise questions about the prospects for private vehicle ownership. Add in hefty investment in public transportation and we could be looking at the end of the ownership model completely.
Spectrum of predictions
Transport as a Service (TaaS) disruption could prove profound. The think tank RethinkX predicts that vehicle users will move away entirely from the traditional ownership model and instead access vehicles as and when required. “The TaaS disruption will end the model of car ownership itself. New car sales and the existing fleet of both internal combustion engine and electric vehicles (240 million vehicles in the US) will be displaced as car owners sell or abandon their vehicles and use TaaS,” it writes in the Rethinking Transportation report.
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