Tag Archives: siri

Apple, Tesla Self-Driving Cars May Kill Off Consumer Auto Insurance

If Apple ( AAPL ), Tesla Motors ( TSLA ), Alphabet ‘s ( GOOGL ) Google and others succeed in making self-driving cars prevalent by 2040 and ride-hailing startups Uber and Lyft prosper, auto insurance may no longer be needed by many U.S. consumers, says S&P Global Market Intelligence. S&P released five reports this week analyzing the push into self-driving electric cars by Google, Tesla, China’s Baidu ( BIDU ) and others. While the business models of traditional automakers such as General Motors ( GM ) and Ford ( F ) will undergo big changes, the impact of self-driving cars on the $137 billion auto insurance industry and companies like Allstate ( ALL ) could be monumental, says S&P. “The advent of a totally driverless car threatens the core auto insurance liability business model,” said one S&P report. “A shift to driverless cars would theoretically shift the legal liability away from the driver, since the incidence of crashes would likely be reduced, and the liability in a crash would shift from human error to product liability, potentially reducing or removing the need for auto liability insurance.” Here are five other takeaways from S&P’s deep dive into self-driving cars and ride-sharing alliances.  Noting Apple’s $1 billion investment in China’s ride-hailing leader Didi Chuxing, which has an alliance with Lyft, S&P said ride-hailing apps may eventually summon autonomous cars. Uber, the leader in ride-sharing, is losing money, says S&P. Both Uber and Lyft face “competitive markets and issues related to how to classify their drivers and operate within federal laws and local rules.” While Apple has not officially announced plans, it seems to be gearing up in automotive technology. “Multiple hires made since the beginning of last year, including former Tesla employees, indicate an interest,” S&P said. “We also note substantial increases in R&D and capex over the past few years.” General Motors, which in early 2016 invested $500 million in Lyft, intends to integrate autonomous driving technology from Cruise Automation once it completes its planned $1 billion purchase of that company. Lyft drivers are a potential customer base for GM’s upcoming Bolt electric vehicle, says S&P. Radio service providers such as iHeart Communications, formerly Clear Channel, will likely face intensifying rivalries versus Sirius XM Radio ( SIRI ) and  Pandora Media ( P ), as well as Apple CarPlay and Google’s Android Auto. RELATED: Apple Gets Lift From China Ride-Hailing Service Investment Toyota Joins Apple, GM In Finding Ride-Hailing Partners Meet Uber’s Self-Driving Car, As Autonomous Race Heats Up .

Apple Music "Off To Slow Start," Says Morgan Stanley

Apple (AAPL) Music is “off to a slow start,” says a Morgan Stanley report, based on survey of subscribers to music streaming services, with only 15% saying they used it, either for free or as paid subscribers. Also, users of Sirius XM Radio (SIRI) services reported high satisfaction, the survey found. Apple Music, launched in July, is the “least easy” streaming service to use, found the survey of 2,000 U.S. adults, done in November. Of those

Streaming music lags in the car, where AM-FM still rules

S treaming music services are growing fast, but in the car most people still get their music the old fashioned way — via AM-FM radio or CDs, a new study by IHS (IHS) shows. In a survey of U.S. consumers, IHS asked, “What are the top 4 ways you listen to music in your vehicle?” The No. 1 choice was AM-FM radio, which was selected by 74% of respondents. Compact discs was second at 64%, followed by Sirius XM (SIRI) satellite radio at 44% and music stored on a phone or other mobile device at 41%. Streaming music services such as Pandora Media (P), Spotify and Apple’s (AAPL) Beats Music came in a distant fifth at 24%, IHS reported this week. HD Radio, digital terrestrial broadcast radio, was sixth at 22%. Not surprisingly, streaming music services did considerably better with younger drivers. Among millennials (ages 18 to 37), 42%…