How likely is it that today’s automakers will continue to rule as self-driving cars arrive?
About as likely as it has been that major record labels will continue to control the music business since file sharing and online audio streaming have arrived.
Whether its driverless technology, connected cars, new in-car entertainment systems, or other innovations, traditional auto manufacturing and sales channels are likely to get hammered by the increasingly technology-driven evolution of automobiles.
In other words, the more that cars look like software, the more that the legacy car companies are going to be disrupted.
Why? In this article David Pakman has 6 reasons (or “vectors” as he calls them) which are directions from which change is going to negatively impact automobile industry incumbents:
- Direct consumer relationships
- Executive hubris
As a former music industry executive, Pakman knows what a disrupted industry looks like, so check the post for the details on each of these “vectors” and the logic behind them.