Goldman Sachs – Bullish on Connected Cars with Internet of Things

internet of carsGoldman Sachs is bullish on connected cars with Internet of Things connections to the world. Using current research available, the company predicts new connected car technology in the future. The numbers reveal trends in the future of mobility for intelligent traffic systems, self-driving autonomous cars and automotive mobility services.

Connectivity of vehicles will allow the exchange of data to all road users, but also with road infrastructure like traffic signs, traffic lights and smart road networks notes Stefan Burgstaller, Head, European Automotive Equity Research Goldman Sachs.

Data such as 1.6 Billion cars on the road with 75 Billion hours spent driving and 1.2 million annual deaths due to car accidents, globally is discussed in the Goldman Sachs video “The Internet of Things Meets Cars.”

There are major societal benefits to connected greener more efficient traffic system mobility. Connectivity and autonomous driving are the backbone of the Internet to cars. Connectivity of cars will allow the exchange of data for road information with cars and also for infrastructure like traffic signals and smart road networks that will result in safer more efficient traffic systems.

The Internet of Cars are important to autonomous self-driving cars. By 2030 there will be 48 mega cities with populations over 10 million person. By 2050 urban popular will increase by 50% to 6 Billion people.

The United States, the average driver spends 38 hours a year stuck in traffic. Traffic congestion can only get worse, driving will get more complex and challenging. He believes autonomous driving will be safer because of faster reaction times.

The Internet of Things will change the car ownership model. Car ownership is the second largest decision of any household, yet,
the car is only 5% utilized. Instead of buying a car, people will increasing use the mobility services.

Goldman Sachs sees an exciting future for automotive mobility.