Consumers Want Remote Driving - And Will Pay Handsomely For It

Ottopia recently worked with a major consultancy to carry out a survey of 650 premium car owners across the US and China. Over the next few weeks, we will share key insights from this survey. This post is the first in the series.

You drive to meet friends at a popular restaurant in the middle of the city, only to circle around 20 minutes looking for parking. Your teenager asks for your car for an errand in the middle of a meeting. You find yourself stuck in mind-numbing traffic at the end of a busywork day.

Wouldn’t you love for someone to remotely connect to your car, take care of driving for you, and let you spend time on what you care about?

If you answered yes, you are not alone. In our survey of premium car owners in the US and China, over 80% of respondents wanted remote driving. We are not talking about lukewarm interest: they would use it an average of 2.3 times per week, and 75% are willing to pay at least $62 an hour for the service.

And the kicker: Fully one-third see remote driving as one of the top 3 features they would look for in a new car!

In 2024, car buyers demand innovation. Between electric vehicles, rapidly-growing Chinese OEMs, and the rise of new mobility services, consumers have more choice than ever before. Carmakers have struggled to move beyond their core expertise of making great cars. With remote driving, OEMs can launch an attractive new service that will drive sales and stand out in a crowded marketplace - while also generating new revenue streams.

But What About Autonomy?

In reading the intro to this post, you may have wondered how interest in remote driving compares to interest in autonomous driving. After all, 70% of people are interested in an autonomous “digital chauffeur”, according to a recent survey from The Verge.  

We shared your curiosity. 

When we asked which technology people prefer, over 59% said that they prefer remote driving.

To understand why, we asked people to choose between the two technologies on different dimensions. A clear trend emerged: People feel more comfortable with a person in the loop. They have more confidence in human behavior in emergencies, human ethical decision making, and human handling of unexpected scenarios. 

The exception proved the rule: The one dimension on which autonomous driving had an edge is cost-efficiency. In other words, people prefer remote driving despite knowing that it may cost more than autonomy. 

Remote Driving + Autonomy: A Winning Combination

Rather than competing, remote driving and autonomy complement each other. For one, the use cases fit like a puzzle: autonomy works on highways, remote driving handles urban areas: 

Our survey found that the technologies can cross-support take rates: 72% of respondents are more likely to buy a car with autonomous driving features if it also offers remote driving. The ability to activate remote driving when needed can ease adoption of autonomy.

We recommend pursuing remote driving and autonomy together. Remote driving has a small hardware footprint: once you offer autonomy, you only add a second modem to support remote driving. Offering both technologies completes an OEM portfolio and enables you to gradually build customer trust in new technology. By offering both, you can scale faster and enjoy the strengths of each. 

The automotive industry needs to think outside the box, and remote driving delivers. By offering remote driving, an OEM can boost its innovation reputation and win customers from both slower rivals and nimble competitors. Remote driving will boost autonomy take-rates and strengthen consumer trust. Remote driving is the new mobility service OEMs have been seeking. 

To schedule a demo or learn more about how to adopt remote driving, contact Ottopia today

Wait a second, you mentioned unit economics and I need to know more! Stay tuned for an upcoming blog post on consumer willingness to pay, cost structure, and profitability. Or if you can’t wait, reach out to our experts.