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How Robotaxis Might Mitigate Electric Car Depreciation (robohub.org)

Hallie Siegel writes: Autonomous car expert Brad Templeton argues that we're in for a period of about 5 years in electric cars where each year's new model is a lot better, and that could be a problem for people trying to sell them. Further exacerbating Moore's Law for cars is that autonomous features (like traffic jam assist) rely heavily on computers. Unfortunately cars cost a lot more than computers or cell phones, so throwing them away before the end of their lifespan is a bit of a problem. How do get over the depreciation problem while autonomous cars and electric cars are going through this period of rapid development? Templeton suggests that a taxi model could be the answer, since use is so much more intense that with a private ownership model, that the cars are likely to wear out before they become worthless from a resale perspective.

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  1. Not that much by DrYak · · Score: 3, Informative

    That is because of dealer markup.

    Not quite. The dealer don't have actually that high margins on new cars.

    It's really the market price falling with the perception of the cars being in pristine conditions or not.
    (It's the same kind of consideration as that to a fan or a collector, it's REALLY important if a good was unboxed / if the packaging has already been cut open or not.)

    On the other hand: you can count the dealers to milk your wallet as much as they can get with it. Specially for periodic controls. But also at the slightest warning light going orange / the slightest warning message on the dashboard. Or even for simple firmware update. Or even if the offered services don't make any sense (e.g.: car dealer selling care packages including a few oil changes. On an electric vehicle. (which has a sealed electric motor and thus no possibility to touch the oil).
    That's why car dealers are pissed by dealership-free cars companies like Tesla Motors (With automatic OTA update that don't require a "technician" and are offered for free instead of being charged. And with fewer parts requiring actual service)

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