Driving the Financing behind Autonomous Vehicles. DriveSweden Forum 17 OCTOBER 2018, STOCKHOLM

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1 Driving the Financing behind Autonomous Vehicles DriveSweden Forum 17 OCTOBER 2018, STOCKHOLM

2 AVs as a Public Good

3 How Could AVs be Used?

4 Potential Business Models Seasonal Tourism for Daily Service The Mobility Broker People and the Post

5 Seasonal Tourism For Daily Service

6 Seasonal Tourism for Daily Service Although not a new concept on its own, it has yet to be introduced using autonomous transit. The idea is that a tourist destination would make autonomous vehicles available for public use and the fares from the high season subisidize year round service. Municipal investment returns to local citizens in the form of new services and cheaper fares.

7 Seasonal Tourism for Daily Service The Ouch In rural areas, people don't rely on the public transport since it is inflexible with few stops, few departures, and large distances between stations. The Potential We can increase attractiveness of countryside and help people refrain from buying a second car, or even avoiding a household vehicle completely. This can be a new form of para-transit for those who cannot drive themselves or be used for children to get to school or extracurricular activities. This can increase the access of people who need trips to the pharmacy, to work, or just to socialize.

8 Gotland On-Demand

9 Gotland On-Demand

10 The People and the Post

11 The People and the Post Imagine that a public bus that drives around people in the daytime was also dropping off packages and goods at night. Since autonomous vehicles don t need a driver and can designed to charge themselves, the vehicles can be multipurpose throughout the day, transitioning from passenger transport to goods transport. By combining vehicle usages and utilizing their ability to run day and night, cities can reduce congestion caused by delivieries, support the economic performance of local businesses, and reduce the number of private car trips.

12 The People and the Post The Ouch Autonomous vehicle services are currently resource intensive to set up and operate. The Potential By combining the usage of the vehicle for both passenger transport and logistics delivery, you can reduce the number of vehicles in traffic, as well as reduce the cost of maintaining separate delivery systems. Fleets used in the day can perform deliveries in the evening, generating more revenue while the majority of people are sleeping. Or, passenger vehicles can assist delivery vehicles through physical connection. This increases the efficiency of the post system.

13 Combining Mobility Needs

14 Combining Mobility Needs

15 The Mobility Broker

16 Who is the Mobility Broker? This is a concept that has come up often in the past year. The idea is that you have an organization that takes the responsibility for inviting and maintaining different types of mobility services together, while making it easy for Users to pay and adjust their services. But who would fill this role? The role of property management companies have expanded beyond utilities and maintenance to include internet services and food delivery; they can and probably shall expand to include transportation services. Mobility Brokers are a form of Local Hero.

17 Gothenburg CoCreation Valley

18 But how does a mobility broker pay for services?

19 Answer: Parkeringsnorms!

20 Mobility Broker Money Flow

21 Financing The Future There s more work to be done. These are just a few of the business models we ve discussed in our use cases, but there are more to be examined: local tax funding, utility investment, distance/opportunity cost fare pricing. All of it comes down to willingness to pay. Once we have an entire neighborhood or city moving autonomously, we will be able to understand who benefits the most and how to price these services.

22 Ready to engage autonomous mode?