Transportation as a service can provide provision on-demand without actually owning or leasing cars. Whether the evolution of TaaS is proving to be good or not is still debatable to many.
As the use of TaaS increases, the production of cars has become more of an asset due to which, carmakers need to decide on whether they want to be a mobility provider, service provider, or just simply make a car that can be sold to other companies who provide various services.
TaaS comes bearing its own set of benefits and downsides as it is still a newly developing concept that has shown great promise (Eg Uber), though it has proven to be problematic for the taxi services that already exist.
How Revolutionary is TaaS?
According to an article on TaaS by NoBSIMReviews.com Whitney Tilson, an established entrepreneur and the founder of Empire Financial Research, states that investing in TaaS can change the way we live, at the same time making services more efficient while saving millions of dollars.
As technology advances so should our services, and this will change the shape of the country, which is what Whitney truly believes. Yet this comes at a risk of many businesses going bankrupt.
Benefits of TaaS
Increasing ownership of cars has caused many hazards in daily life. Air pollution is dramatically rising and so is the use of fossil fuel for energy. With the service provided by TaaS, some of these inconveniences can be eliminated.
In the International Driverless Car’s Conference, it was acknowledged that the progress of automotive technology was swift, yet there were many doubts about the strength and infrastructure of such developing technologies.
Bosch had stated in the same conference that they had sold their ownership of the combustion engine to work on new models that would use electricity to power their vehicles.
Easier to Reach Your Destination
Reaching your desired destination becomes difficult with traffic jams snowballing. For people who do not own transport, it becomes more irritating to be in a public vehicle sitting in traffic.
With TaaS, you can move from one place to another effortlessly, using various means of transport like bikes and cars.
As you are no longer required to own a car, you can save millions of dollars that would otherwise be spent on fuel, tax, and maintenance for your car.
The number of cars on the road will decrease as the need for owning a car reduces thus helping to get rid of pollution and traffic blocks. The city will have cleaner air and we can postulate a transformation of the city.
Satisfying Your Own Needs
The rides provided are catered to your needs and comfort. TaaS provides valuable options depending on the type of journeys, like minivans for a family, cars for long rides and short rides, etc. Not only that, it provided Door-to-Door service which is quite convenient.
Downsides of TaaS
Even though the future of TaaS is pretty attractive, we also have to consider the possible cons of this type of service. This change is especially intimidating for the automobile sector.
Many businesses may have to shut down their business unable to fulfill the needs of new models of automobiles as the sector advances rapidly, focusing more on the short-term impacts while neglecting the long-term outcome.
Humans will be deprived of the freedom and the feeling of comfort in one’s car as the need to buy one will slowly change into using cars as a service. Therefore a lack of self-satisfaction may result.
Is It Cost-Effective
Though it may seem striking to think about being able to book a ride with just one tap on the phone, it can turn out to be expensive when compared to other means of public transport like buses and trains.
A shift in an entire sector of business will have some effect on the economy. Many industries will be forced to change their substructure which can lead them to invest or lose a large sum of money.
Some Future Prospects of TaaS
As carmakers are pushed to think of new methods and models of cars that are more contented and environment friendly, many ideas have already taken off. These ideas do not specifically regard the car itself, they also involve other aspects (such as garages) that revolve around a car.
Garages of a New Generation
People will no longer need a garage as the ownership of cars will vanish. The extra space could then be used as a rental service like an Airbnb garage.
This will introduce opportunities for new applications and services that will connect the owners of the garage to the car service providers thus building trust and shifting to a more tech-savvy community.
Logistics and Custodian Services
The demand for service-providing cars such as delivery cars will be on the rise. New technologies will materialize new delivery tools such as robots and drones which are currently being used in other areas of industry.
Even though this seems more reliable, the consequences may lead to many people losing their jobs.
A Shrewd Society
Transportation as a service has eased the daily war of commuting. Using motorbikes, you can escape the traffic and reach work more easily. It has increased productivity though it contributes to pollution and crowding. To overcome these problems, new innovations and services are being developed.
Our Future in the Hands of TaaS
The transportation sector is struck with a cosmic change as Transport-as-a-service emerges. This change is making cars, in general, more reliable and manageable thus changing the groundwork of an entire society.
New automotive technologies such as solar-powered cars are attempting to take over. However many doubts arise as to whether these technologies will be sustainable in the long run or not.
TaaS is still a fresh concept for many, showing great potential. Let’s embark on this journey together and see what the future has in stock for us!