Autonomous driving will unlock profits for on-demand transit

Can a microtransit shuttle service be a sustainable business if it relies on human drivers? By Freddie Holmes

Microtransit is one of many emerging mobility solutions that aims to support existing public transit networks. Commercial projects have rolled out slower than micromobility, car-sharing or other on-demand ride services, which have seen explosive growth in recent years.

In part, this may be due to the inherent challenges of running a shared transportation service with no fixed route, using vehicles with fewer seats than a conventional bus, and forking out on high driver wages. Estimates vary, but a driver can account for anywhere between 30% and 60% of the operating expenses (OpEx) of a traditional public bus. It can be done, but sustained success is hard to come by.

Automation makes a more compelling argument for microtransit. Without a human driver, vehicles can operate continuously, or at least as long as power remains in the battery. They also offer a whole new level of flexibility, serving

It’s time to log in (or subscribe).

Not a member? Subscribe now and let us help you understand the future of mobility.

Monthly Online Magazine
£195
1 user
12-month subscription (Annual rebill)
Access to Automotive World Magazine, our must-read monthly online publication
Mag + Articles + Special Reports
£495
1 user
12-month subscription (Annual rebill)
Access to Automotive World Magazine plus all articles and more than 40 special reports per year
All Content
Single-User License
£2,250
1 user
12-month subscription (Annual rebill)
Free tickets to Automotive World events
Unlimited online access to all content, including Automotive World magazine, articles, special reports, data and research
All Content
Team License
£3,950
Up to 5 users
12-month subscription (Annual rebill)
Free tickets to Automotive World events
Unlimited online access to all content, including Automotive World magazine, articles, special reports, data and research
All Content
Company-Wide License

Contact us for pricing

Unlimited users
12-month subscription
Free tickets to Automotive World events
Unlimited online access to all content, including Automotive World magazine, articles, special reports, data and research

Welcome back , to continue browsing the site, please click here