Autonomous vehicles are coming, and the result may be fewer “fender bender” accidents on the road, according to a new report from professional services firm KPMG U.S.
KPMG found that original equipment manufacturers (OEMs) will see a substantial, 48%, dent in their lucrative collision parts business as a result of self-driving cars.
In fact, KPMG projects that OEM collision repair revenue, which was $5.6 billion in 2015, could drop to $2.7 billion by 2030 and dwindle to $1.4 billion by 2040.
This is bad news for the OEMs, but good news for the rest of us. After all, fewer collision parts sold means fewer collisions. The roads will be safer.
Remarkably, most OEMs expect to be selling fully self-driving vehicles between 2020 and 2025, if not sooner.
As advanced driver assistance systems become more prevalent in vehicles, KPMG projects crash rates could decline by more than 60 percent by 2030 and 80 percent by 2040.