Transcripts For CSPAN Regulation Of Connected Cars And Self-

CSPAN Regulation Of Connected Cars And Self-Driving Cars January 25, 2014

Tour because ces has become effectively the fourth major auto show, and Dave Schapiro and the team realized that there is a convergence. With convergence, there are possibilities, opportunities, and also great risks. So, i have valedictory, if you will, in terms of where we are and what we have seen, and where we will go, i am incredibly happy to see that so many partners are not talking to each other, which was not the case are now talking to each other, which was not the case that long ago. You have handheld manufacturers and automakers and system lab form providers, the windows, and the ioss of the world are now in Strategic Partnerships in figuring out ways forward. [phone rings] speaking of which i wish i had planned that, but i really did not. [laughter] that is all good things. But i will tell you that from the part of the agency nhtsa, as a safety regular, and there are other regulatory bodies that will be a part of this space and partnership with nhtsa, the federal trade commission, federal communications commission, we have only one chance to get this right. So i implore all of you to continue on your path of not only communicating at the level that you are talking right now, frankly, building a broader basis of how we attack the problems that we see in the future of connectivity. And it is an activity rate large. Vehicle to Vehicle Connectivity that we are working on at the agency level, connectivity drivers of the vehicle, connecting the driver to the outside world, and how we can innovate all these things safely. I will tell you the one thing that will disrupt all of this our hope in vehicle to vehicle communication, our hope and active Safety Systems, our push for technology at nhtsa through initiative where we are focusing on increasing belt use, looking to eliminate drunk driving by having the vehicle recognize whether you are over the limit, and reducing human error, which is part of 90 of all traffic crashes. The hope of reducing traffic fatalities to 10,000 people, 5000 people is all based on this technological hope, but we will not attain it if we do not address privacy. And data and all those components which people hold dear. We are in a really sensitive time in america in regards to these issues, and the power of everything that we are relying on in Safety Systems and connection will not be attained if consumers dont trust the work of the regulators or the work of industry. So my last official request as the administrator at the Consumer Electronics show is we have to do more, we have to be better, and we have to do it faster. The agency is in a position right now were i have always said we should follow the notion of what Wayne Gretzkys dad said to him and his years of being a young hockey player not go to where the puck is, go where the puck is going. Nhtsa has to do that, and we will. I have a strong team that will work. Everybody in this room has a responsibility. To uphold these goals, we have to make sure we have the trust of the American People for all these wonderful innovations. That is my hope, and that is my wish. I want to thank again everybody that is in this room and all the partners over the past four years that have made this the most dynamic time in the public that any Nhtsa Administration has ever had in public office, and u. S. Have had the ability to do gods work. So keep talking, keep planning, keep innovating, keep growing, and please keep safety as number one priority. Thank you very much. [applause] thank you very much. It was very interesting. We are going to talk about privacy only today. I have been coming to this show out to las vegas for almost 25 years now, to technology shows. Ive heard innovation revolution and till was death from hearing it. But honestly, this year, we are really seeing the start of something that will revolutionize travel, safety, david alluded to the idea of zero fatalities if people realistically talk about now, but there is a long road to get there. That is what our starting point will be. I will run through the folks on the panel and then get off because we do not have a lot of time. Im not going to be able to do it in order, either. We have got hilary cain from toyota, kevin lane from horizon, Thilo Koslowski from gartner, and mike stanton of course on the association of global automakers, andrew brown, delphi, and mitch bainwol, from the alliance of automobile manufacturers. Since dave was just here in talking about it, and it is a policy kind of discussion, is how can anybody in legislature, you know, government, keep up with the changes we see . Many of us have gotten demos today, but with a brandnew things how can you legislate and protect the public, help manufacturers, etc. , and can they do that . I will start off with, if you want to start right off, or we can no, that is fine. The question is, how can we keep up or how can the Administration Deal with what is changing in the telematics world or automotive world . We have to have a lot of people, i guess. Full employment asked to the government because it is changing dramatically. I think a lot of the change is good, and there is a lot of innovation, the cars are getting smarter, yes, the cars are connected, and i think to his last point about safety, it is that the core of the connected vehicles is a safety. There is the technology that has been around for 18 years that will notify in case of an accident. If you think about how many accidents are reported from the vehicle, from those technologies, it is out there, it is connected. How do they keep up . I think it is things like this. I think there are initiatives where we as an industry need to start coming together. Im not a believer that we need to throw policy at everything that happens in the car because policy also means stifling innovation. I think the technology that got us to these safer cars, these connected cars, the technology that allows us to a handsfree calling and cars, the technology that connects you to your dealer or the diagnostic, technology can be used to solve some of the things that i think nhtsa is worried about. I agree with 100 we do come together as an industry, and we need all the players at the table to figure out how to use that same technology to solve some of those issues. Andrew, yeah. First of all, i want to complement administrator strickland because i think he like no other administrator before him actually reached out to the industry, to try to understand the nature of the technology, to try to understand what could be possible. Not that it needed to be in a regulation, but to stretch their thinking about the possibilities, and i think he was very receptive to that. From that point going forward, i think not just nhtsa but all government administrations, Government Agencies that work in this space, need to reach out to industry, reach out to the Consumer Electronics sector, reach up to academia, because there are a lot of players in this space, and all of us have a piece of the equation, and it needs to be more collaborative. It is not like the old days where we were often our separate corners and then we came out fighting. I mean, what must happen is that we Work Together to achieve the best solution for everyone concerned, industry, government, and ultimately the consumer. I would like to echo what andrew decide about david. He was incredibly accessible, and is, this is not his obituary here. He is a thoughtful guy and a love of technology that came through his work. David, when he spoke, said the problem of connectivity, and i would quibble with that a little bit. I think the issue here is the opportunity of connectivity. We have this dawn of great new agent safety that connectivity is going to usher in, and the question is is the pace of change consistent with the nature of government in the modern world . I think the answer is, unfortunately, maybe not. The process takes two to three years to implement. Every show at ces you see dramatic new innovation, so yeah, we always talk about innovation, but to have innovation, it is finding its way into the marketplace now in quickly and it is really profound. I was just that a show a minute ago and i went through the mercedes display, and there is the wearable watch that commands the interface, the system, and that is pretty striking. As a metaphor, and i do not say this to pick on nhtsa, nhtsa does the best they can do with really dedicated public servants, but the distraction guidelines that came out earlier this year were visual, dealing with 2 of the system, did not deal with the cell phone, wearable watches, voice, or gesture. That is a perfect metaphor for the challenge because it is not relevant to the problem that is today. And the way you deal with that is by government serving a very different role. Instead of government being a regular, government should be a facilitator of conversations between all the various players in the panel and in this room. So the carriers and the manufacturers, software guys, and auto manufacturers. We have got to find a way to pull together so we can produce a product in a car that essay for everybody. That is safe. We are used to dealing with nhtsa. The other element of the new ecosystem or not and we have to deal with that. I think the point that their new city more collaboration among the various players in this field is absolutely right. I also think there needs to be collaboration among those doing the regulating. I think we have seen that more pronounced perhaps in the last few months, last year or so, where we are talking about privacy. We are talking by the federal trade commission, we are talking about policies, the federal communications commission, and nhtsa and its traditional area. I am not sure there is enough i would argue perhaps that there is not enough cooperation and collaboration among those regulators as well. I think we have seen that play out most profoundly in the vehicle to vehicle mitigation space of late. The fcc works with nhtsa because we are integrating these services. But coming back to the original idea, so would it help with studies like the 3000 vehicles in ann arbor, and that vtov study, is it Something Like that, or will should we be doing Something Like what is in europe, where we do not force a standard, but we put out a star rating for your car, so if you do not have Collision Avoidance on the car, gets one star rather than five. Those different kinds of approaches to that. I definitely would think that is a big piece of it, and i would like to introduce another level of this, which is ultimately the consumer, rights, that will determine if something works or does not work because all of you might reject some of the stuff it does not do what it is supposed to do. I believe the government plays a huge role in really facilitating innovation, not necessarily stifling it. There are issues of getting things done quickly, but at the same time, if there were not any regulation at all, this would be the wild west. Maybe everybody in the room knows how to do it right and not put anybody in danger. There are other approaches i have seen, particularly in it Tech Companies, not automotive, that would put you at risk. Ultimately it is the market force that will determine what sticks and what does not stick. I believe this whole notion about driver distraction, for his apple, which has been a huge topic and continues to be one, will force the Automotive Industry to become more innovative in how you serve up information and able and consumers to consume that content, maybe create content on their own and share it with other people that this will be healthy to bring innovation to the marketplace. If you do not have these guidelines in place, none of that what actually happen, and i think you would see the industry shifting, the mindset you cannot control at all, but if you plant the right seat then create a structure for people to think of what needs to be happening in order to insight consumers and allow them to have the digital lifestyle and be represented, that is what its really interesting. That has to be the role of the government, and that includes doing some of these demonstrations and testing. You mentioned the safety launch in ann arbor, which i think is a great example of how government should engage, and it is a great demonstration, in fact, i think it is an excellent model in terms of engaging or facilitating the oems, the tier ones, the academics, other players who have technologies, the telecommunications communities because it is an attempt to try to understand the technology, not only what is possible but what is doable and affordable. And to understand some of the flaws, some of the benefits, and to try to understand that in the context of data. Data that will help us assess what is truly feasible and how workable are those solutions. I mean, if you just a step back for a moment and think about this, and the new technology for a connected vehicle that you put into the marketplace at best its going to go on 15 million, 16 million vehicles in the United States or maybe 70 million vehicles globally. Here in the United States come you have what, 330 million vehicles already in the car part . Yet you are only producing 15. 6 million or 16 million new vehicles each year. How do you really make it effective if it might take you 20 years for the technology to propagate throughout the car part . So regulators need to understand that legislating something instantaneously does not mean you fix the problem. In fact, you may cause a bigger problem, and you may increase the cost of the technology. So it is much better, and my mind, to try to work through and facilitates with the players to understand really what is possible. Can you i mean, could you do that with vehicle to vehicle . I start looking at this and thinking well, if i am a major automaker, could i introduce in my vehicles by myself . It would not work across the board, but it might be the tip of the iceberg to start to get that technology out there. Or is this something that there is just no way, it is too dangerous, i could come up to an intersection, get a false alert. It is also a very lonely discussion you have come only your car and nobody else, so that is what the government has to regulate some. Again, consumers will actually determine if this technology will work or not because if they find value in it, then the manufacturers see incentive in putting the technology in their cars, but you have to have regulation around it. I always come back to the aspect of the consumer side, the market side of it, plus technology, and the government can help to actually create innovation by mandating some of those aspects if it is proven that it can affect lives or improve productivity. That is going to be the main motivation for a lot of these technologies. Those two aspects and benefits that we can realize and considering that all of us dont any country in the world wont see more investments in the road infrastructure means we have to get better about, smarter about using the existing infrastructure that we have. That alone i think will motivate these technologies. I think vtov from either Driver Assist or selfdriving cars because in one case, you have an infrastructure components, but there is a real role of government, and we alluded to were not get into this question of the sdc, and this is a tricky proposition. On the one hand, we are faced with the opportunity to have Massive Gains in a fatality rates that connectivity would usher in. It requires a major investment on the part of government, a major investment for manufacturers, a major embraced by consumers, but it also requires a certain spectrum potentially. And this is where the organization, the government, and the modern world that. Does not fit. The dna of the sdc is not necessarily auto safety, it is wifi, if the internet dna, it is a very different perspective on life. So this is a bit of a challenge for us. It is a huge problem i thought i might have cut off. [laughter] it is a huge problem and quite honestly we expected that david would make some kind of an announcement on spectrum and making sure that the spectrum is available, but the payoff if you look at it, reducing fatalities and injuries by 80 , just look at what you could do as far as reducing gasoline, look at what you could do as far as reducing time that is wasted on highways on all this. It is incredible. The challenge is great. You look at it, and we talked to all of our members about it, and the question is are you ready to make the investment . Well, what is that investment . Is that standing behind your product for 20 years on vtov or vtoi, and what is that mean, where is the liability . And we go back to the original question that was first raised to me with the then nhtsa administrator reset technology is moving so fast we cannot keep up with it. The problem that the manufacturer has is that they run with their technology, and if the regulation is something that is different than what they have invested in, that is the exposure that they have. So the way we have been dealing with this issue is by having very Good Communications with not only the nhtsa administrators and others we are regulated bumper to bumper. With that seven or eight agencies that are all regulating how we build our products, we need to have that collaboration, and i think i forget who said it early on, but you know back when nhtsa was created in the 1960s, it was like hell no, we dont want to go as automakers. That had to train dramatically for us to come up with a more cooperative arrangements so that we can solve the problems together he cuts no one has all the answers. John, quick thought on the vtov, vehicle to vehicle and a vehicle to infrastructure, i think the magnitude of lives that can be saved and the Property Damage that can be prevented and the congestion i mean, i think that is pretty clear, but to get to that point, we have got to get the consumer and the driver base comfortable with the concept of connected vehicle where data will be shared and vehicles are going to talk to other vehicles, and that is not a small task. It is no surprise that even today with all the technology, a small share of cars are connected. We have got to get the Consumer Base comfortable with the idea of a connected car, what the benefits are, what th

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