You're
out on the town. You hail a taxi with an app. A cushy vehicle shows up
with no steering wheel, no gas pedal, no brake pedal and no driver.
You've heard those ambitious plans spelled out for some pie-in-the-sky
future. …
In race to get driverless cars on the road, Ford speeds ahead
Russ Mitchell and Samantha Masunaga
You're out on the town. You hail a taxi with an app. A cushy
vehicle shows up with no steering wheel, no gas pedal, no brake
pedal and no driver.
You've heard those ambitious plans spelled out for some pie-in-the-sky future.
Now, Ford Motor Co. says it will make it happen, and soon.
The
Detroit automaker revealed in broad strokes Tuesday an ambitious
strategy to make fully autonomous cars available for sale by 2021. At
first they’ll be used for ride sharing and ride hailing, with sales to
individual drivers an indeterminate number of years after that, Ford
Chief Executive Mark Fields said.
“This is a transformational moment in our industry and
it is a transformational moment for our company,” Fields said outside
Ford’s Palo Alto research center in Silicon Valley. “The next decade
will be defined by the automation of the automobile, and we see
autonomous vehicles as having as significant an impact on society as
Ford’s moving assembly line did 100 years ago.”
In fact, the real transformation will occur
when Ford delivers on its plans, or when another company beats it to the
punch. All of the major automakers are working on such technology. So
is Alphabet, the parent company of Google, and, possibly, Apple. Earlier
this year, General Motors
bought an autonomous car start-up, Cruise Automation, and announced it
would work with Lyft, which GM partly owns, to develop driverless taxis.
The
fast-approaching date for driverless cars also ratchets up the pressure
on state and federal lawmakers to come up with guidelines. Last
month, Transportation Secretary Anthony Foxx
said his department will issue new guidelines on the vehicles this
summer. It has been working with companies developing driverless and
partly autonomous cars to adapt existing safety rules to the new
technologies.
But, in the race to bring driverless cars to market, Ford is the first to commit to a date.
“The
business opportunity here is absolutely huge,” said Fields, a Ford
veteran who was named CEO in 2014. The driverless car is part of a major
strategic reorientation at Ford that “will allow us to get a growing
share of [the] transportation-as-a-service market.”
By that, he
means vehicles, software and services that cater to a market where
people need to navigate independently through increasingly packed cities
around the world, but don’t want or can’t afford their own cars, or are
physically unable to drive them.
To make it happen, Ford also
announced acquisitions of and investments in a few driverless technology
companies, but did not identify any partnerships or even discussions
with existing ride-hailing companies, such as Lyft and Uber. Asked for
details, Fields said, “There will be things we do on our own; there will
be things we do with others.”
The first deployments, he said,
will be in crowded urban areas and require partnerships with government
leaders on regulations and infrastructure needed to support driverless
cars. For instance, right now such experimental vehicles need clear lane
markings to operate.
He figures local governments will go along:
“It’s an economic development issue” for cities that want to keep
central shopping districts healthy.
The CEO, 55, said he’s
confident of Ford’s ability to develop the technology to meet the
deadline. But consumer acceptance is another issue. By rolling out the
cars in ride-hailing capacities first, he said, consumers will have time
to build trust and confidence in the vehicles.
He criticized competitors for promising too much with current “driver-assist” technology, an oblique swipe at Tesla Motors, whose attitude toward its own driver-assist feature, named Autopilot, has come under criticism.
“They throw these terms around very liberally,” he said.
Tesla
has been facing questions about its Autopilot system since the death of
a Model S driver in Florida in May. On the afternoon of May 7, in
clear, dry conditions, a Tesla Model S driven by 40-year-old Joshua
Brown slammed into a tractor trailer attempting to turn in front of it.
The
accident sheared the roof off the car, which skidded under the truck
and off the road, plowing through two wire fences before crashing into a
utility pole, the accident report said.
The crash of the car,
which was using the still-in-beta Autopilot, highlighted what some say
is a gaping pothole on the road to self-driving vehicles: the lack of
federal rules.
Automakers do not need to get the technology
approved by the National Highway Traffic Safety Administration before
rolling it out to the public. They just have to attest that their
vehicles meet federal safety standards -- yet there still are no such
standards for autonomous driving features.
That enables carmakers to, at their own discretion, roll out features when they deem them to be ready to hit the road.
Critics,
lawmakers and safety advocates say carmakers should not be using their
customers as guinea pigs. They’re questioning whether the companies are
moving too fast and say regulators should put the brakes on a nascent
technology that might have been rolled out too hastily.
Ford,
Fields said, will completely skip what’s known as “level 3” autonomous
cars, which would put the driverless system in control of the vehicle
but expect the human driver to take over if need be. “We couldn’t get
confident” with that kind of human-machine interaction, he said.
Instead,
Ford will sell cars in which the driver is responsible for all systems,
and driverless cars in which the passengers have no responsibility at
all.
Ford also plans to expand its research center in Palo Alto by
doubling the staff there, to 260, in order to push the company toward
the deadline.
“This whole thing is really significant,” said Ed
Kim, vice president of industry analysis at market research firm
AutoPacific. “It is a great technological accomplishment to be able to
offer such a level of autonomy in such a short amount of time.”
Ford also announced related business deals:
— A $75-million investment
in Velodyne LiDAR Inc., a Northern California company that specializes
in lidar, a technology that uses light to detect objects. Baidu, the
Chinese Internet giant with an artificial-intelligence lab in Silicon
Valley, will also kick in $75 million. — The acquisition of SAIPS, an Israeli computer vision company. — An investment in Civil Maps, which applied artificial intelligence to digital map making. — An
exclusive licensing agreement with Nirenberg Neuroscience to use its
machine vision technology, which it says has been used to restore sight
to the visually impaired.
Michelle Krebs, senior analyst at Autotrader, cautioned that Ford now has to meet its target date for rolling out the vehicles.
“We’ve
got to be careful about ‘first,’ ‘biggest,’ ‘most,’” she said. “These
are plans.… We’ve been waiting for Ford to make some announcement of
where they are,” Krebs said. “GM’s been getting a lot of publicity, and
Wall Street has been asking, ‘What’s Ford’s plan?’”
Fields
acknowledges that the carmaker, the second largest in the country, has
been under pressure to reveal its autonomous vehicle efforts.
“We’ve
taken our time to talk about our plans, and we’ve been criticized for
that,” he said. “We are not in a race to make announcements.”
Shares of Ford fell 9 cents, or less than 1%, to $12.34 on Tuesday. Times staff writer Jim Puzzanghera in Washington contributed to this report. ALSO Will that red light end soon? Audi's countdown clock can tell you Lyft CEO Logan Green has a plan that's far bigger than ride-hailing Millions of cars' keyless entry systems can be hacked, security experts find UPDATES: 6:20 p.m.: This article has been revised for additional updates and for clarity. 12 p.m.: This article was updated with details from Ford’s news conference in Palo Alto, Calif. 9:20 a.m.: This article was updated with staff reporting. This article was originally published at 8 a.m.
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