The automobile industry generated more than $4.4 trillion in revenues in 2018. A total of almost 80 million vehicles were sold around the world. While the industry is seeing some growth, auto manufacturers are feeling the heat of disruption. Electric vehicles such as those manufactured by Tesla (TSLA) have gone mainstream. Similarly, ride-sharing services, scooters, and bike sharing have become popular in urban areas around the world. As a result, traditional companies are working hard to develop cars that will compete with the new-age cars like Tesla, Rivian, and Nio.
One area that has received billions of dollars in investments is on autonomous driving. Companies like Tesla, General Motors (GM), Alphabet (GOOG), Ford(F), Apple (AAPL), Toyota, and BMW, and Daimler have announced investments in the new industry. All major automobile groups around the world have announced their investments in the sector. In February alone, investments worth more than $1.6 billion were made in the industry.