General Motors To Move Into a Shared Auto Mobility

The auto-maker might be the most disruptive automaker in the industry.

Markets all over the world are going to a rapid and drastic change especially the automobile industry. Amid this technological advancement, auto-mobile companies do not want to be left behind and enjoy every chunk of these changes. Furthermore, auto-makers all over the world are working on establishing ways to make the driving environment more safe and clean and one of the solutions that they have come up with is Shared Auto Mobility.

General Motors Company has made numerous attempts to enter into the Shared Mobility space in recent time which makes us believe that it might just be the most sustainable auto-maker in the industry for the specific technology.

Mobility Services will not only reduce the heavy traffic congestion problems but also help managed the transport systems which are likely to be used as a shared service, since the population of the world is growing at a good 1.2% rate. Furthermore, analysts are concluding that in the recent future, people will avoid buying their own vehicles and rather prefer more economic ways of commuting which could include car sharing services or even public transport – that ought to reduce the congestion and transportation problems.

Numerous analysts in the industry believe that there is likely to be a drastic change in the vehicle purchasing patterns of people in the upcoming years. Last year, analysts Barclays shared their views on the future of the automaker industry in a report. As per the report by the investment bank, car ownership is likely to call by 50% in the next 35 years as they will prefer to commute via shared autonomous vehicles that are currently in the making. Every shared autonomous car is expected to replace nine traditional vehicles that are now owned by customers. This change would bring the auto demand to 9.5 million which will indicate a drop of 40%, in the United States.

Making such a concept a reality entirely depends upon automakers making technology their friend; as these automobile companies will need to partner up with technology companies to bring new features and technologies to their cars. Taking into consideration the fact that research is the first step in achieving all these goals, the research and development expenses of General Motors Company went up to $7.5 billion in 2015 to an initial $7.4 billion in 2014.

GM is not the only auto-maker that has injected a lot of cash into R&D; many others have made hefty investments in this research as well however GM is largest car seller in North America and has made the most investment in the car mobility field taking the lead in the specific research.