Reality of Self-Driving Vehicles

The UK is enacting laws to penalize distracted drivers using mobile phones. At the same time IBM is coming up with mechanisms to detect when a vehicle should hand-off to the human driver.

Will we actually see self-driving vehicles or rather vehicles with enhanced driving experience? Will drivers actually be able to multi-task (talk on the phone, use their computer, etc) in their vehicle or will they have to keep their hands on the wheels at all times?

Where is the innovation to have self-driving vehicles with no steering wheels? Will manufacturers really desire to accept all blame and responsibility for misbehaving vehicles or vehicles that can be attacked?