Google Inc (GOOG) has a lot of wood in the fire, but that doesn’t mean the search engine giant is backing off of the projects that have the most potential for long-term success. Instead, the company continues to ratchet up its plans, doing whatever it takes to move to the front of the pack.
Driverless vehicles sound like something out of a space cartoon, but GOOG is doing its part in making this a reality. We may be a far way out from these vehicles taking over the roadways, but if and when that happens, you can be rest assured that Google is going to be out in front.
Work Now, Benefit Later
Google is putting tons of time, money, and resources into driverless vehicles, as the company truly believes this is the direction in which the automotive industry is headed.
According to a report by ABI Research, global driverless vehicle shipments will jump to 1.1 million by 2024. From there, shipments will reach 42 million by 2035.
ABI practice director Dominique Bonte discussed Google’s stance, adding the following:
“While autonomous driving under the control of a human standby driver is quickly gaining acceptance, robotic vehicles mostly remain out of bounds, especially for car manufacturers, despite Google’s recent announcement to start prototype testing. However, only driverless vehicles will bring the full range of automation benefits including car sharing; driverless taxis, and delivery vans; social mobility for kids, elderly, and impaired; and overall economic growth through cheaper and smoother transportation critical in an increasing number of smart mega cities.”
As you can see, GOOG is so far ahead of the rest of the industry that its progress almost seems farfetched. Even then, the company is continuing with its plan, realizing that the right technology can and will change things in the future.
If these numbers play out and driverless vehicles continue to grow in popularity over the next 20 to 25 years, it looks like Google will be in good position to capitalize. For long-term investors in Google, this is music to their ears.
As of this writing, Chris Bibey did not hold a position in any of the aforementioned securities.
