What Peak Car Will Mean for the Auto Industry Around the World
For many people, new forms of mobility are making privately owned vehicles obsolete
By Keith Naughton and David Welch
After one too many snowstorms, Boston tech executive Larry Kim had had it with shoveling out his car and struggling to find parking. So in 2014 he ditched his Infiniti luxury sedan and began commuting by Uber and Lyft — at an annual cost of as much as $20,000. “I would never go back to owning a car,” says Kim, chief executive officer of MobileMonkey Inc., a Facebook Messenger marketing platform, who says he’s recovered an hour a day by not driving. “Your time is not free, right? Your time is worth more than $20 an hour. So in my case, why not spend $15,000 to $20,000 a year to get all of that time saved?”
The automobile — once both a badge of success and the most convenient conveyance between points A and B — is falling out of favor in cities around the world as ride-hailing and other new transportation options proliferate and concerns over gridlock and pollution spark a reevaluation of privately owned wheels. Auto sales in the U.S., after four record or near-record years, are declining this year, and analysts say they may never again reach those heights. Worldwide, residents are migrating to megacities — expected to…
