Shared autonomous vehicles in public transit November 10, 2017 Jeremy Brown Director of Business Development First Transit Thank you for giving me.

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Presentation transcript:

Shared autonomous vehicles in public transit November 10, 2017 Jeremy Brown Director of Business Development First Transit Thank you for giving me the opportunity to speak today. It is certainly very exciting to talk to you about Autonomous Vehicles and how there application is valid, today!

FirstGroup 19,500 Employees 36,000 Vehicles 7,5000 Employees

Background Levels of Autonomy Shared Low Speed Autonomous Vehicles will be a part of the transportation landscape within the next 2 years. This technology is being purpose built for passenger transportation both as new manufactured vehicles and agnostic “kits” to be installed on existing vehicles or introduced into the manufacturing process Levels of Autonomy Environment: Most countries are moving forward with regulation and guidelines for autonomous driving including the US and UK. Different levels of autonomous driving are permitted today including on public roads with driver and on private roads without a driver. All major car manufacturers and many tech giants are developing unique technology for cars, but SAV is limited to new startups. PRIVATE & CONFIDENTIAL

First Transit USA Experience Today First Transit is the only firm providing the operations, maintenance and insurance of autonomous vehicles, under contract for commercial operation, in the United States. First Transit is the first to the mark in the country with commercial contracts. This has been a largely positive experience with us being able to gain a huge amount of data and learning. We are excited about our winter testing in Minnestoa to see how the EasyMile shuttle handles in the snow/ice conditions. Bishop Ranch, San Ramon, CA GoMentum Station, Concord, CA. Global Life Stadium, Arlington, TX Minnesota Winter MnDOT

First’s EU Experience In the UK First is a partner in a Bristol based Venturer Project Venturer is a Government sponsored multi-partner project focused on technology development of Connected and Autonomous Vehicles (CAV), that is also reviewing other practical considerations such as; Technology demonstration Vehicle interaction Hand over time (time to retake manual control) Legality Insurance Project also looking at Autonomous POD technology. Involvement is increasing our practical understanding and potential future applications. Our UK divisions are growing in their interest towards AVs – initally it seemed that the UK had a fairly passive approach towards Avs, however politically with a post Brexit country, the UK Government is funding C/AV projects fairly aggressively to show the UK as a leading country to do business with. This should be an interesting country to see develop in this space.

GoMentum Station Multiple projects to Redefine Mobility including commercialization of SAV’s One of 10 federally approved AV testing sites in the US setup 5,000 acres in Concord, CA Partners include several local transit agencies, Best Mile, First Transit, EasyMile, AAA, and others Goal is to deploy multiple SAV’s in the next couple of years as First Mile/Last Mile solutions for CCTA connecting to BART Recently received approval to test on public roads at Bishop Ranch with 2 EZ10 12 passenger vehicles

SAV in Public Transit Current Future (5 years) Transition Period

SAV in Public Transit Current There are several factors that make SAV’s not viable today for most applications of public transit Vehicle Acquisition Cost is 5x similar gas vehicle of comparable passenger capacity Regulations have not approved complete Level 4 autonomy on Public Roads thus still requiring a monitor Consumer Adoption is not prepared. 55% of people say they will not ride in an autonomous vehicle

SAV in Public Transit Transition The trend will change towards adoption of SAV Cost of sensors and electric batteries will drop as auto manufacturers ramp up production and demand thus driving price down to 2-3x. Introduction of SAV “kits” that will provide Level 4 autonomy to existing agency fleets thereby reducing the capital cost during transition to SAV Both Federal and State regulators are approving testing on public roads with the intention of full commercialization. Expectation to see Level 4 autonomy on selected routes within 3 years Consumer perception will improve through acceptance of SAV being safer than “manned” vehicles and more visibility through MaaS providers

SAV in Public Transit Future Public Transit may no longer require tax subsidy Several costs are reduced through SAV including driver wages, supervision, fuel, maintenance, management, and technology Only high demand routes will be operated by SAV’s by transit agencies. Feeder routes could be serviced by agencies, but more likely by On Demand providers such as Ford, GM, LYFT, and Uber Paratransit will become full integrated into fixed route services through On Demand partners and SAV’s providing curb to curb service

Conclusion Autonomous Vehicles are happening. With support from governments, consumer groups and fueled by the most valuable companies in the world Public Transit will be affected tremendously by creating a lower more cost efficient operating model and increasing accessibility for riders There will be competition from On Demand providers (including auto manufacturers) for ridership as cost for ride sharing will become lower than car ownership and bus current bus fares .