Autonomous trucks stalled by an uncertain market
STORY: With a nationwide shortage of truck drivers, self-driving trucks would appear to have a golden opportunity - but it seems they are missing out.
Their robot drivers are not yet ready and neither are their biggest potential customers, who are in no rush to sign major contracts.
“There's certainly still some concerns about how real is it and when will it be there.”
Jim Monkmeyer is president of transportation at DHL Supply Chain, one of the giant logistics companies whose buy-in is key to the success of self-driving trucks.
“It is a lot of work evaluating the different providers to identify companies like TuSimple that are really at the top of their game and, partnering with those companies, working out the routes that fit our network for our shippers.”
DHL Supply Chain has so far partnered with TuSimple and competitor Embark and has put in reservations with both for future trucks to be fulfilled in 2024.
DHL says contracts with multiple providers are key to reducing risks with the new technology.
"We're not at a point where we're shaking things out. I think we're at the point where we're still adding more players.”
The CEO of US Xpress agreed, saying logistics firms like his were still testing multiple self-driving startups as a way to (quote) “hedge their bets.”
While much attention has been focused on self-driving taxis, industry experts increasingly bet on driverless trucks to be the first autonomous vehicles to generate meaningful revenue.
But the economics pan out only once the driver is removed. Most self-driving trucks still have safety drivers at the wheel.
So far, only TuSimple has removed those drivers in a handful of night-time trial runs.
TuSimple is planning to present per-mile cost calculations in the next few months, said Cheng Lu, the company’s former CEO, who now serves as an adviser.
"Ultimately everybody in this industry, the key stake-holders, want to see autonomy happen, because of the value proposition."
Making a meaningful dent in the U.S. market of 2.3 million trucks will take time, however, and industry experts project no more than a few hundred-thousand autonomous trucks over the next decade.
Unresolved challenges include how to service the technology – such as radar and camera sensors – as well as making sure self-driving trucks can tackle tough driving conditions, such as a snow and ice.
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