Take The Power Back
January 14, 2024
This Week in The Autonomy Economy, The Road to Autonomy Index returned 1.04%, CES took place in Las Vegas and it’s time to for the autonomous vehicle and autonomous truck industries to collectively take the power back and change the narrative.
In next week’s newsletter, we will breakdown CES. Explaining why in our opinion Continental and their The Road to the Cloud vision for autonomy is the future of in-vehicle experiences and commerce.
Subscribe to This Week in The Autonomy Economy™
A weekly newsletter featuring insight and analysis on the autonomy economy™ and how the financial markets are viewing its emergence.
What’s Moving the Markets
It’s Time to Take the Power Back
After California Governor Gavin Newsom vetoed the Teamster backed AB 316 bill on September 23, 2023, the Teamsters are doubling down on California and expanding their efforts to derail the autonomous vehicle and truck industries to multiple states.
The Teamsters are expanding their efforts running bills in multiple states (California, Indiana, New York) with the clear goal of destroying jobs and bankrupting two industries all in the name of self-interest and self-dealing.
In California, State Senator Cortese (D-15) introduced Teamster backed bill, Senate Bill 915 that would create a path work of laws enabling local jurisdictions in California to impose fees and regulations on autonomous vehicles.
In New York, State Senator Pete Harckham (D-40) introduced bill S.7758 requiring human safety operators for autonomous trucks weighing over 10,001 pounds.
In Indiana, State Senator James Tomes (R-49) introduced Senate Bill 57 requiring that a human commercial motor vehicle operator is physically present in an automated commercial motor vehicle weighing over 10,001 pounds.
On the Indiana House side, State Representative Cindy Ledbetter (R-75) introduced House Bill 1022 that states; “an automated tractor-trailer may not be operated on a highway to transport passengers or goods unless a human operator who meets all state and federal qualifications to operate a tractor-trailer is physically present in the automated tractor-trailer.”
Do the New York and Indiana bills sound familiar? These bills are very similar to the one that Governor Newsom of California vetoed. If the bill does not pass in one state, why not try it again in another state? Rinse wash and repeat appears to be the strategy being deployed by the Teamsters.
There are several patterns to uncover in the filed legislation:
- The language used in the three autonomous trucking bills highlighted above are eerily similar.
- The talking points are all relativity similar.
The Talking Points
- California State Senator Cortese: Autonomous vehicles are not safe.
- New York State Senator Harckham: Autonomous trucks and the autonomous trucking industry will kill jobs.
- Indiana State Senator Tomes: Autonomous trucks are not safe.
In a January 11, 2024 interview with Land Line Magazine, State Senator Tomes further emphasized his position.
With new technology on the horizon and more self-driving vehicles being used on our roadways, it is important our laws reflect these changes to keep Hoosiers safe. Driverless vehicles, especially large trucks, could pose a danger on our public roads if not monitored properly.
– Indiana State Senator Tomes, Land Line Magazine Interview, January 11, 2024
Indiana State Senator Tomes: Autonomous trucks are not safe.
- Indiana State Representative Ledbetter: Safety and Cyber Threats.
In an interview with WISHTV on January 3, 2024, State Representative Ledbetter stated the following:
As the industry gets more connected and more data is shared, cyber threats are a very big possibility, and we wouldn’t want anybody with malicious intent to gain access to these semis.
– Indiana State Representative Ledbetter, WISHTV Interview, January 3, 2024
- The Teamsters: Autonomous vehicles and autonomous trucks are not safe. They will kill jobs.
While the talking points differ on language, there is a common denominator amongst them — safety and jobs.
The safety talking points used by the autonomous vehicle and autonomous truck industries is being weaponized and used against the industries. Embracing a “safety-first approach” narrative is playing right into the hands of the Teamsters and their political allies.
And yet, collectively the autonomous vehicle and truck industries continue down the wrong messaging path in an almost comical fashion. In a January 11, 2024 interview at CES with Yahoo! Finance, Mobileye CEO and President Amnon Shashua stated that safety is autonomous driving’s “biggest story”.
It’s not autonomous driving’s biggest story, it’s the entire industry’s achilles heel. It is being exploited to the industry’s detriment, yet the narrative continues.
While we commend and agree with the safety-first approach being embraced by both the autonomous vehicle and autonomous truck industries, it’s simply the wrong messaging approach.
Collectivity the autonomous vehicle and autonomous truck industries have to come together and abandon the safety-first messaging approach. It’s time to change the narrative and focus on messaging the positive benefits of autonomous vehicles and autonomous trucks. Job creation, lower inflation, supply-chain resilience, mobility freedom along with all of the economic benefits.
Collectively the industries have to tell the story of WHY. The safety message simply does not resonate with the public. Does the public ask how safe it is to ride in an Uber? Does the public ask how safe it is to drive a car? Does the public ask how safe it is to ride on a highway next to a tractor trailer? No. They simply assume it will be safe.
The same has to happen with the autonomous vehicle and autonomous truck industries. What the public cares about and thinks about every single day is, the cost of groceries, the cost of gasoline and the overall cost of living.
In this current economic environment, consumers are suffering under high-interest rates and the stickiness of inflation. Adding to this burden, consumers collectively have $1.08 trillion of credit card debt.
The Philadelphia Federal Reserve Bank is reporting that 3.19% of credit card balances were 30 days late (up from 2.76% the quarter before); 2.21% of balances were 60+ days delinquent (up from 1.91%); and 1.52% were in serious delinquency of 90 days or more (up from 1.32%).
Credit card delinquency rates are close to setting a decade high.
All stages of delinquency rates now exceed pre-pandemic levels for the first time and are approaching series highs since 2012. In response to this deterioration, banks are granting fewer credit line increases and reducing credit lines more frequently in the recent four quarters.
– Gene Huang and Anna Veksler, Federal Reserve Bank of Philadelphia
The data is clear, consumers are suffering under the high interest-rate environment that caused by stimulus spending. Stimulus spending exacerbated the growth of inflation and The Fed had to bring it back down.
While inflation is coming down, things are going to start to break as the consumer buckles under the high-cost of servicing their debt. As banks begin to report earnings, we will gather more insight into the viability of the consumer.
A crisis is brewing and yet it is being swept under the rug by the talking heads on TV who preach everything is going well, it’s simply not. The data tells a different story.
The current high-interest rate environment has created a serious economic crisis for the consumer. It’s a crisis that should not go to waste. Former Chicago Mayor Rahm Emanuel once said:
You never let a serious crisis go to waste. And what I mean by that it’s an opportunity to do things you think you could not do before.
– Rahm Emanuel
The economic crisis has created the opportunity for the autonomous vehicle and autonomous truck industries to change the narrative and derail the Teamsters economic destruction agenda.
It’s time to message the following for the Autonomous Truck Industry:
- What if I told you autonomous trucks have the ability to lower inflation?
- What if I told you autonomous trucks will enable you to pay your credit card debt faster?
- What if I told you autonomous trucks will help to reduce the amount of money you spend at the grocery store?
- What if I told you autonomous trucks will help to accelerate the growth of the U.S. economy leading to new high-paying jobs?
- What if I told you, autonomous trucks will help to reduce the price of gasoline?
- What if I told you autonomous trucks will make our roadways safer?
It’s time to message the following for the Autonomous Vehicle Industry:
- What if I told you autonomous vehicles will enable you to pay your credit card debt faster?
- What if I told you autonomous vehicles will create new high-paying jobs?
- What if I told you autonomous vehicles will lower your vehicle insurance premium?
- What if I told you autonomous vehicles will lower medical costs?
- What if I told you autonomous vehicles will give our grandparents mobility freedom?
- What if I told you autonomous vehicles do not speed?
Would you believe me?
This is the story that has to be told. This is the story that will resonate with the public. The public cares about their personal economic situation.
As consumers suffer under the burdens of inflation, the autonomous vehicle and autonomous truck industries should use the crisis to change the narrative and take the power back.
If the industries do not change the narrative, the Teamsters will continue to control the narrative. Posing a significant threat not only to the autonomous vehicle and autonomous truck industries, but to the entire U.S. economy.
The Teamsters have an agenda and it’s called economic destruction for their own personal self-interests.
Tom Morello, Timothy Commerford, Zack M De La Rocha, Brad J Wilk collectively known as the band Rage Against The Machine wrote and once sang about taking the power back.
The rage is relentless
We need a movement with a quickness
You are the witness of change
And to counteract
We gotta take the power backYeah, we gotta take the power back
– Take The Power Back, Rage Against The Machine
Come on, come on!
We gotta take the power back
It’s time for the autonomous vehicle and autonomous truck industries to take the power back!
Take the power back by changing the narrative. Go directly to the public and deliver the message of economic prosperity for all. Get the public on the industries side and the Teamsters agenda will fail.
Our take: The time to change the narrative is now.
Mobileye is a The Road to Autonomy Index component company
Social Buzz
Going Down The Road at Highway Speeds
On January 8, 2024, Waymo announced new routing that includes utilizing highways as part of their fully autonomous operations in Phoenix. Expanding to highways at highway speed, further reinforces Waymo’s lead as the leader in autonomous vehicles.
Our take: The autonomous vehicle market is Waymo. At this stage in the developing market, Waymo owns it. Their competition, Zoox and Motional have not demonstrated the ability to scale and deploy large commercial operations in multiple states. Things could change in the future, but right now Waymo is the clear market leader.
Waymo parent Alphabet is a The Road to Autonomy Index component company
Ireland’s Minister for Finance Takes a Ride
Michael McGrath, Ireland’s Minister for Finance took a ride in a fully autonomous Waymo vehicle on January 9, 2024 in San Fransisco. A trend is beginning to emerge as world leaders such Prime Minister Mark Rutte of The Netherlands and now Mr. McGrath are flocking to cities where Waymo operates to experience a ride in a fully autonomous vehicle.
Our take: Hats off to the Waymo government relations team for their proactive outreach to world leaders. Letting world leaders experience a ride in a Waymo vehicle will only help to foster public trust and accelerate the adoption and implementation of autonomous vehicles globally.
Waymo parent Alphabet is a The Road to Autonomy Index component company
The Road to Autonomy Index® / Weekly Performance
The Road to Autonomy Index® is a high-definition lens into the emerging world of autonomous vehicles. It is the world’s first and only pure-play index designed to measure the performance of the autonomous vehicle/truck market.
For the week of January 8, 2023, The Road to Autonomy Index returned 1.04%, the S&P 500 returned 1.47% and the NASDAQ 100 2.20%. The Road to Autonomy Index underperformed by the S&P 500 by 0.43% and underperformed the Nasdaq 100 by 1.16%.
The top performing stocks in The Road to Autonomy Index this week were:
- NVIDIA returned 11.43%
- Sony Group Corporation returned 10.67%
- Uber returned 9.76%
S&P Dow Jones Indices is the custom calculation agent for The Road to Autonomy Index.
Follow The Road to Autonomy Index on Google Finance
The Road to Autonomy Index Component Companies
Latest The Road to Autonomy Podcasts
The Road to Autonomy podcast hosted by Grayson Brulte is a podcast featuring unconventional conversations about the future of mobility and the emerging autonomy economy. New episodes every Tuesday.
Developing the Autonomous-Ready Truck Platform
Joanna Buttler, Head of the Global Autonomous Technology Group, Daimler Truck North America joined The Road to Autonomy podcast to discuss the development of the autonomous-ready Freightliner Cascadia and Daimler Truck’s outlook for autonomous trucking.
Listen on The Road to Autonomy | Apple Podcasts | Spotify
Tuesday, January 9, 2024
Daimler Truck AG is a The Road to Autonomy Index component company
Scaling an Autonomous Trucking Company with Financial Discipline
James Reed, COO, Kodiak Robotics joined The Road to Autonomy podcast to discuss how Kodiak is scaling the business with financial discipline, economic scenario planning and operational readiness as the company ramps up commercial operations heading into 2024.
Listen on The Road to Autonomy | Apple Podcasts | Spotify
Tuesday, January 2, 2024
What is The Future of Cruise?
David Welch, Detroit Bureau Chief, Bloomberg joined Grayson Brulte on The Road to Autonomy podcast to discuss the future of Cruise and how the robo-taxi market will shakeout. What moves will Waymo, Zoox and Motional make now that Cruise has been sidelined for the foreseeable future?
Listen on The Road to Autonomy | Apple Podcasts | Spotify
Tuesday, December 26, 2023
Subscribe to This Week in The Autonomy Economy™
A weekly newsletter featuring insight and analysis on the autonomy economy™ and how the financial markets are viewing its emergence.
All price references and market forecasts are as of the date that this newsletter has been sent. The Road to Autonomy is not providing any financial, economic, legal, accounting, or tax advice or recommendations in this newsletter. The information contained in this newsletter does not constitute investment advice and should not be relied upon to evaluate any potential transaction.
Inclusion of a security within The Road to Autonomy Index® is not a recommendation by The Road to Autonomy Indices LLC to buy, sell, or hold such security, nor is it considered to be investment advice.
