Transportation Secretary Anthony Foxx says President Obama’s 2017 budget proposal will include $4bn for self-driving car pilot projects over a 10-year span. Among other things, the funds would cover a programme to test self-driving cars on technologically advanced roads.
To encourage tests, the DoT also plans to make up to 2,500 self-driving cars exempt from some proposed safety rules for up to two years, and to work with state governments to create state regulations for autonomous vehicles. It suggests an interest in lowering auto fatalities is behind the effort. Foxx: “We ask ourselves, ‘What if human error could be eliminated? That is a possibility worth pursuing.”
Mobileye (NYSE:MBLY), which is going after the autonomous driving market via its driver-assistance systems, is a potential beneficiary. As is Google/Alphabet (GOOG, GOOGL), which has amassed a major lead in real-world driving data for self-driving prototypes, and is looking to bring a self-driving car to market by 2020. A JV with Ford is rumored to be on the way.
