- What major areas in transportation and mobility could XaaS have an impact on?
- Why have most of the companies in mobility XaaS failed so far?
- What new approaches may be required to create successful mobility XaaS businesses?
- Is automation essential for successful mobility XaaS?
- How can XaaS make transportation electrification more sustainable and affordable?
What Is the Pathway to Sustainability for As a Service Business Models in Transportation?
Everything as a service (XaaS) models are not a new concept, but the utility of such services has grown exponentially during the past 15 years thanks to the introduction of cloud computing platforms, smartphones, and the ubiquity of wireless broadband connectivity. In many fields, this combination has enabled the rethinking of the whole concept of ownership and whether most people should own expensive assets. In transportation and mobility, XaaS for everything from car-sharing to ride-hailing to batteries is now either an established business or will likely soon become one.
The challenge for mobility-related XaaS is that almost no one has yet managed to find a path to profitable, self-sustaining operations. Most of the companies that have launched over the past decade have since gone out of business—either running out of capital or being acquired by a larger competitor.
XaaS has tremendous potential as a business model and to provide genuine societal benefits. It can be used to improve road safety and reduce congestion, provide mobility for those that cannot otherwise afford it or are unable to be mobile on their own, and reduce resource requirements. Doing so, however, will require some reevaluation of how companies operate as part of the larger transportation and mobility ecosystem.
- ADAS/ADS developers
- Transportation regulators
- Mobility service companies
What Is as a Service?
Vehicle as a Service Utilizes Online Capabilities
Carsharing Was an Early XaaS Model
Vehicle Subscriptions Are Another VaaS Solution
Mobility as a Service Offers Multiple Models
Human-Driven Taxis Are an Old Model
The Automated Driving Model Is Lagging Expectations
Micromobility Programs Had Limited Success
Delivery as a Service Benefits from Favorable Economics
Freight as a Service Fills a Need
Automation Could Address Multiple Issues for Long-Haul Operations
Battery as a Service
Which Models Have a Pathway to Success?
What Is the Attraction for the Customer?
Multi-Service Aggregators Could Be an Ideal Solution
Is Automation the Key?
Should Consumers Just Buy?
What Do We Recommend?
Free Money Does Not Exist
Give Up on the Concept of Growth at All Cost
A Pathway to Profits and Societal Benefit Does Exist
- Automated Truck and Bus Deployments by Region, World Markets: 2022-2032
- Annual Robotaxi Deployment by Region, World Markets: 2023-2035