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Sprout
Fortunately for you it won't be THAT big a gap...
Sat Dec 2, 2017 10:21am
192.86.118.14

While you see 75% of the revenue, replacing you with a computer does NOT actually cut costs by 75%...

This is because OUT OF your 75% percent comes money to fund the vehicle itself. Fuel, maintenance, wear and tear depreciation, insurance, etc...

So, let's take the hypothetical where you own a self-driving car and could put it on the Uber or Lyft system. Essentially leasing your car to them... YOUR costs don't drop by 100%. They ONLY drop by you own payroll.

I'd suspect that a SIGNIFICANT percentage of your earnings go to funding the vehicle. And THAT cost doesn't change whether the vehicle is driven by you or by itself.

So, think of what percentage you ACTUALLY take home once fuel, insurance, mileage costs on the vehicle, etc are all factored in.... THAT is the amount that the self-driving car can discount the fare.

  • More than half the current fare goes to the driver. There will be plenty of people who choose to pay less than half and get a self driving car. Self driving cars will also soon be safer than human... more
    • Fortunately for you it won't be THAT big a gap... — Sprout, Sat Dec 2 10:21am
      • Oh, I think you are right.Ken C, Sat Dec 2 4:15pm
        I may have overestimated the cost savings of self driving cars. Self driving cars will also need additional sensors and computers that will add to the cost. Plus the cost of developing and... more
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