Highlight Future Customer Demands Regarding Vehicles

Published Date: 02 Nov 2017

Self-driving cars: The next revolution by KPMG (2012)

High � Official publication of KPMG

High - Written based on research data and discuss regarding the existing and upcoming technologies

Provides in depth analysis regarding technology and future life styles based on today�s market data

Driving by Driverless Vehicles in Urban Environment by Joshu�e P�erez, Jorge Villagr�a, Enrique Onieva, Vicente Milan�es,

Teresa de Pedro, and Ljubo Vlacic

Available in

High � Written and reviewed by respective academics and professionals

High � Clearly explain the methodology and technology of autonomous vehicle

Provide information about current problems and technical aspects of driverless technology

How Autonomous Vehicle Policy in California and Nevada Addresses Technological and Non-Technological

Liabilities by Cyrus Pinto

Available in

High � Written and reviewed by a member of Stanford University

Medium � Mainly covers the legal aspects and information related to artificial intelligence

Highlight the legal aspects regarding artificial intelligence and legislation barriers towards the driverless technology

Energy, Safety and Autonomous Urban Vehicles by Tyler C. Folsom

Available in

High � Research has done by an analyst from a firm called QI2 which is experienced more than 40 years in R and D and research

Medium � Mainly feature aspects related to feasibility, traffic safety, and fuel efficiency of autonomous vehicle driving

Highlight the aspects related to technical and non technical barriers

Autonomous Ground Vehicles

Concepts and a Path to the Future by Thorsten Luettel, Michael Himmelsbach, and Hans-Joachim Wuensche

Available in

High � An accepted publication for IEEE conference 2012

High � Mainly discuss about the respond against harsh road conditions and saving consumer time

Demonstrate the current trends of autonomous vehicles and upcoming technical features

Autonomous Vehicles for Personal transport: A Technology Assessment by Matthew Moore and Beverly Lu

Available in

Medium - This article was written

by a set of candidates who were reading for their PhD

Low � Converse mainly about technical opinions

Elaborate the technical information and future movements in autonomous vehicle

The fully networked car � Intelligent, Connected cars by Dr. Markus Lienkamp -

Electronics and Vehicle Research

High � The research has conducted by Volkswagen Low � Discuss only about the basic stats related to autonomous industry Emphasize about improving road safety and traffic efficiency with using stats

Are Self-Driving Cars The Apocalypse - ROAD TESTAMENT by Drive (Uploaded in 2012)

Available in

High � The video has published by YouTube channel �Drive �which has more than 400,000 subscribers and 6 million viewers

High � Discuss about the social impact and future life style of autonomous vehicle consumers

Educate viewers about the position of future vehicle industry and the problems which can be occurred because of faults in technology

A look inside Google's "Driverless Car" by tripleredx

Available in

High � The video has viewed as well as commented more than 300,000 viewers Low � The video is only discussing about one specific autonomous vehicle brand Discuss the experience of world�s most famous and successful autonomous car

How Intelligent Cars Will Make Driving Easier and Greener by Rebecca Boyle

High - The site is popular in publishing futuristic science based articles plus blog posts and owned by the multi platform media company BONNIER

Medium - The reader has limited access to documents plus posts and not allowed to read the complete article

Discuss current developments related to electric vehicles, hybrid engines and alternative fuels can connect with autonomous vehicles, cloud computing and robotics

High � The site is related to world famous Forbes business magazine and allow the reader to access for a vast number of articles

High � The site holds number of articles related to autonomous industry under different categories

Articles are available under different autonomous vehicle manufacturers and customer statistics related to the industry

TASK TWO

EMERGING THEMES

THE DISCUSSION PAPER

Word count:

(Excluding Main Headings, In Text Referencing and Appendix)

DATE : 20th July 2013

AUTHOR : Y.Gayan Dilshan De Silva

THE AUDIENCE : Autonomous Institutes and Research Academia

Consumer Insights

Senior Marketing Practitioners

Technicians and Scientists with interest in Autonomous technology

Personnel who interact with R & D in the Autonomous Vehicle Industry

THE PURPOSE

� To explore industry needs for successful application of Autonomous technology in upcoming automobiles

� To examine the current state of the art on Autonomous technology and technology research plus it�s application in the vehicles

� To identify the priority areas of R&D in Autonomous Industry which are expected to have the greatest potential to benefit both consumers and vehicle manufacturing companies

� To envision the challenges and opportunities that advancements in Autonomous technology may bring about to enhance vehicle quality, value, safety and security.

Executive Summary

Autonomous vehicle industry can be considered as one of the large conceptual industry which will be emerged in near future. As one of the revalorizing technological industry the potentials has highlighted in below discussion paper. The Advance Driver Assistant Systems (ADAS) use a combination of advanced applications such as GPS navigation, sensors plus superfast HD cameras which are having major improvements day by day. A successful combination of given aspects gives a promising and potential future for a successful autonomous industry. The beneficial impacts of autonomous vehicles can be related to important areas such as traffic systems, passenger safety, efficient engines and vehicle security. The personalized autonomous vehicle will be necessary equipment in vehicle consumers in near future. The vehicle will simply change consumer behaviors related to aspects in driving plus travelling will be more fun and exciting for next generation. Consumer will be able to save their cost, energy, time and most importantly their valuable lives. As a result of upcoming technology, features related to developments plus giant competition marketer�s role will be highly complicated. Also rules and regulations related to driving and insurance has to be changed according to the human behaviors against autonomous industry.

Background information

The evolution of the autonomous industry

As numerous other industries in the market, the automobile industry has also developed overtime into a global trade of size and complexity. The autonomous industry is one of the further steps which have taken by the human beings. (Refer Appendix 1) The autonomous industry is mainly driven by the robotic technology, latest innovation of equipments such as HD cameras, GPS navigation systems and intelligent software. As a result the manufacturers are seeking to develop a unique and higher quality product to win the market share among available consumer segments. �An industrializing world population, warming planet and depleting supplies of fossil fuels are causing a huge weight for Human lives�. (Huhn, Harris and Snyder 2013) Because of that the customer expectations has increased from basic travelling to a comfortable and efficient driving solutions. The educated and quality conscious customers have driven the industry to seek new ways to increase the durability of equipments, longer life spare parts, highly developed software�s and many more. Today the autonomous vehicle industry is not only served the need of transportation but also a method of helping disable people, avoiding accidents and communicating from car to car technology. Autonomous vehicle industry is mostly running by the societal and technological pressure which creates by the society. In this context people believe �autonomous cars have the potential to revolutionize transportation by saving billions of dollars, reducing stress, conserving energy and improving the quality of life for people around the world�. (Francis 2012)

The promising technology

Science behind the autonomous technology can be assured as one of the most unique combination of robotic technology and human knowledge. According to current researchers reviews the autonomous technology will save billions of money which are related to insurance, road safety system installations, traffic conducting plus human lives which cannot be measured by dollars. The systems and applications related to the autonomous industry has improved and changed the basic approach of the developments and converted their interface to different dimensions. The conversion of standard camera to HD 3D camera, Analogue maps to GPS Satellite navigation maps and standard engines to efficient hybrid engines can be taken as examples to prove the rapid growth of the technology in related industry.

The main points of discussion

Impact of Autonomous vehicles

New advancements in autonomous technology have opened up new predictions in a range of sectors. According to the stats of Forbes magazine they have mentioned that the autonomous industry is worth more than $2 trillion in 2012 (Muller 2013) and emerging. Why autonomous industry is so important to this world? As per stats in 2010 there were approximately six million vehicle crashes leading to 32,788 traffic deaths, or approximately 15 deaths per 100,000 people and also vehicle crashes are the leading cause of death for people aged 4�34. (US only) from the mentioned 6 million crashes 93% has occurred because of an error of a human. (Refer Appendix 1 figure Y) Because of these accidents it has cost more than $300 billion all over the world. (Silberg and Wallace 2012) The goal of developing an autonomous vehicle is to bring success to develop a crash-less car to the future market. But the problem is will people are ready to give up their driving and transfer the control to a robotic driver? Refer figure 1 for demographic breakdown.

According to the stats the baby boomers and older adults are the segment of people who were mostly interested to give their driver�s license. In their age 16 they have owned their driver�s license. But younger generations who are categorized

in digital natives and gen now are not interested in taking license as baby boomers did. Because they current generation is growing up with smart phones and tablets means they are not in love with driving. They consider a life with socializing, gaming and stuff which are helping to mobilize their lives. This will be the target market of autonomous industry.

This discussion paper mainly following 3 major areas in autonomous vehicle industry that may benefit to future vehicle market.

� Raw material technology

� Autonomous vehicle manufacturing

� Smart technology

Development of new functional materials

Autonomous technology is rapidly gaining respect as having the potential to provide extensive benefits for the automobile industry. In addition to improved performance, autonomous technology is delivering paybacks such as reduced fuel and energy consumption when comparing to existing vehicles. When it comes to autonomous ground vehicles there are 3 things that are common such as �sensors to perceive the environment and the own movement, on-board computers, and actuators for vehicle control�. The mentioned 3 areas covers RAIDAR sensors, 360 degrees rotating cameras, GPS satellite navigation and advanced robotic applications which helps to connect all the mentioned equipments to function together. (Luettel, Himmelsbach and Jo 2012)

Figure 2 (http://www.itu.int/dms_pub/itu-t/oth/06/1B/T061B0000020056PDFE.pdf)

Autonomous vehicle manufacturing

A key area of application of Autonomous technology in automobile industry involves with the development of highly advanced technology equipments. The mechanisms frequently used for the production of �Advanced driver assistant systems�. It helps the vehicle to monitor the road conditions whilst going forward. (Refer Appendix A) These systems are similar to the cruise control and assisted parking systems which can be seen as standard options in currently manufacturing vehicles. (�e P�erez et al. 2012) . Industry leaders of autonomous vehicle manufacturing believe that there will be significant benefits in automobile industry such as increasing the efficiency of fuel consumption levels, reduce road accidents plus lots of benefits related to that. To adopt an autonomous package to your favourite vehicle or buy an autonomous vehicle would be an additional cost for your pocket. Figure X will show you the additional cost which will be occurred when the time that you are going to buy or modify your autonomous vehicle.

Figure X: (Source - http://www.pickar.caltech.edu/e103/Final%20Exams/Autonomous%20Vehicles%20for%20Personal%20Transport.pdf )

Smart Technology

Autonomous technology offers higher hopes in automobile technology by promising a high durability, safer travelling and better comfort of personal automobile in future. The applications included in the system can be identified as the main aspects which help to make the dream become true. The below given applications identify and invented to capture object movements, navigation map changes, available temperature and identifies the movements of other autonomous vehicle.

Technology What It Does Limitations of existing equipments Key Players

LIDAR (Light Detection and Ranging or Laser Imaging Detection and Ranging) Helps to detect the light sources and range of upcoming objectives. An optical remote sensors will help to measure distance and the target of upcoming objectives by illuminating with the light Triangulation and interruption issues can be seen.

Google , Siemens , Hella

GPS (Global Positioning system) The GPS system is a navigation system which works with the facilities of satellites. It provides information related to location and time which you�ll be able to access from any point of the earth The accuracy can be measured only in a circle of + or � 10 meters. It is not practical for a vehicle which is approximately longer than 2 meters

Google, Apple, TomTom, Garmin, Parrot, Government

HD Cameras (High Definition Cameras) Helps to grab the videos from outside sources from covering 360 degrees and deliver the videos to ADAS Highly expensive Sony, Panasonic, Cannon, Nikon

RTK (Real Time Kinematic satellite navigation) RTK is being used for transfer the measurements of GPS signals where it needs to be corrected with real time respond

If there is a problem in RTK the ADSD will not be able to control the vehicle. Because system will be reading its own measurements only it received data from ADSD N/A

Digital Maps / Digital cartography Digital mapping is a set of activities which helps to collect data and convert it to a virtual image It�s not possible to map all the part of the world specially in urban areas and need a numerous number of map designers to prove the validity of data in order to achieve the satisfaction

Google, Microsoft, Apple, TomTom, Navteq

OPPORTUNITIES AND THREATS

How Autonomous Technology Affects Consumer Behaviour?

Customers can always be considered as the most important fact of the business. Because of that it is very important to give an extraordinary attention to their behaviour. The increasing demand against the autonomous vehicles will show a better future for the upcoming market. Once customer�s responds has understood by the manufacturers the industry will be able to address each and every aspect of the precious consumer. But new developments and features will not be a success every time. A small mistake or problems in communicating a feature may cost millions of dollars for a producer. New innovations and featuring new options will be more practical if the market knows what the requirement of existing market and what they are willing to accept also what is the information that consumers need to make a proper and well planned decision.

Factors Influencing Consumer Behaviour

Driving conditions and abilities will be differing from one customer to another and also it will be complex interactions of personal choices as well as habits which can be vary across cultures and subculture of automobile users. Understanding the fundamentals of autonomous consumer�s individual behaviour is the most important challenge. This can be identified as one of the most complex task which has given that the consumer behaviour is determined by a selection of influences related to product, individual and the choice context which requires an integration of many disciplines. The customers and investors will refer the factors related to data challenges, crash elimination methods, energy saving methods, legislation will be considered before the convergence of autonomous systems. Please refer the given table that describes the factors which are affecting for consumer behaviour,

Aspects Factors

Culture Culture, Sub Culture and social class

Social Family, friends, social networks, status and societal roles

Personal Age, life cycle stage, economic status, occupation, life style, personality

Psychological Perception, Motivation, beliefs, learning, attitudes

The emerging conversion of technological approaching into consumer relevant innovations comes with the understanding of the consumer�s perception and his or her relationship to automobiles and related technology. Buying an autonomous vehicle can gives you both advantages and disadvantages. (Appendix Y) Consumer�s choice to drive or buy an autonomous vehicle will be driven by the factors related to safety, comfort, and the appearance of the vehicle. Autonomous technology affords the same choice but in response to customer demands. If the manufacturer can successfully achieve the given factors in other side the consumers will be motivated to move towards their life styles to an autonomous generation plus they will take the advantage of the upcoming technological revolution. Motivation is the �driving force within individuals that impels them into action�. (Schiffman and Kanuk 2008) Through