Who profits from self-driving cars?

    Google's self driving cars have been all over the news recently. It appears that the self-driving car movement is actually gaining some momentum. With existing models showing exemplary safety records, it would seem that we're looking at a the future of our roads. An interesting note, however, is that Google doesn't seem like they are going to be producing the cars. In fact, Google would almost certainly have to align itself with multiple major auto-companies for the production of such vehicles.

    Consider the electric car. In the 1990s, multiple electric cars made it to market, but were recalled/withdrawn due to a massive lobby against them. Numerous documentaries (such as Who Killed the Electric Car) detail the conspiracies and controversy surrounding the creation of those vehicles and their subsequent failure. To cite the first paragraph of that  documentary's wikipedia article, "The film explores the roles of automobile manufacturers, the oil industry, the US Government, the California government, batteries, hydrogen vehicles and consumers in limiting the development and adoption of [electric car] technology." Basically, electric cars would have pissed off too many people. Tesla Motors, a recent successful electric car company has fought an uphill battle to earn the progress they have made.

    To bring self-driving cars to market, Google will have to tread very lightly. It would make sense for them to ally with existing car manufacturers. Aside from being able to utilize existing manufacturing facilities, 'big auto' would be their primary opponent. So if the cars are still being made by Ford or Toyota, what does Google do? Will they make the operating system for the cars? Probably, but I belive their influence will go deeper than that. Since Google is doing almost all the current research into this technology, they will hold the vast majority of the patents. That's not the only way Google will come out ahead. Google knows that if you free up someone's hands during their commute, they are going straight to their smartphone, and that means more search revenue for google. Take a look at this sketch from a Google patent for a system that tells drivers when they can take their hands off the wheel. It's almost mocking the fact that they will go straight to their smartphones.