Self-driving cars right around the corner thanks to Google partnership

The automotive business is conservative. Outside of a few visionary companies, most motor-vehicle corporations need to be dragged into the future kicking and screaming. Even something as simple as adding stereo systems to cars was resisted by many, and it took overwhelming consumer preference to drive the change on a large scale. Whether it's seat-belts or crumple zones, LED headlights or ABS breaks, car companies have long proved they will resist changes out of fear of disturbing their delicately balanced business ecosystem. This tendency is probably one of the biggest impediments to self-driving cars; Google is hardly a known and trusted quantity in the automotive business, and their radical new approach to driving is sure to alienate some of the companies it most needs to charm.

This week Google made some progress toward heading off this problem, with a deal forthcoming(Opens in a new window) between the Internet giant and German autoparts manufacturer Continental AG. A similar deal may also be in the works between IBM and the auto company. Continental brought in upwards of $40 billion in revenue last year, and maintained relationships with virtually every major car company in North America, Germany, and Japan. If Google wants a partner in bringing their technology to the automotive establishment, Continental is a strong choice.

The German company is best known for their hugely successful line of tires, which rank fourth in the world, but they are just as ubiquitous in less visible areas of the automobile, producing brakes and transmission parts that make them an important part of the industry as a whole. Continental recently signed(Opens in a new window) a deal with Cisco Systems to create a "connected car" with better internet functionality than ever, and has tried to build a specialization in lithium-ion batteries for electric cars. While this latter push hasn't come to much, it's clear that they have an eye on the future. Continental is interested in becoming a bigger player, and cornering new markets as they emerge.

As early as 2011, the CEOs from GM, Nissan, Audi, BMW, and other major automotive companies were calling(Opens in a new window) 2020 the threshold year for self driving cars. They all seem to agree that the revolution is coming -- they just don't necessarily seem too happy about it. Perhaps that's because self driving cars are projected(Opens in a new window) to put large portions of the industry out of work by reducing the need for repairs and maintenance through better, more precise driving.

Even partial automation could make use of Google and IBM's technology though, especially when provided through an existing partner like Continental. Many companies will be bringing cars capable of limited automation, often limited by top speed and designed for the most tedious sorts of stop-and-go traffic. The cars are legal for testing in 3 states (Nevada, Florida, and the all-important California), but there are moves to stop such legalization. The National Highway Traffic Safety Administration (NHTSA) wants states to start banning(Opens in a new window) the vehicles until the technology is more fully tested. They have proposed a five-point classification system, from 0 (no automation) to 4 (full automation).

At present it's the luxury vehicle manufacturers that are making the most progress toward commercial self-driving cars. Technology from rival supplier Bosch was recently spotted(Opens in a new window) on a BMW test vehicle in California. Google has a major leg up in terms of both test-miles driven and name recognition with the public. They need to capitalize on that lead by partnering with a company with experience in the market -- and it seems like they're on their way.

[UPDATE] - A former Wall Street Journal technology reporter is claiming sources(Opens in a new window) have indicated Google will develop their own full-fledged car. If true, this makes a strategic partnership with experienced international manufacturers all the more important. Indeed, Continental is rumored to be one of the main forces making this as-yet-unconfirmed project possible.