New and recent technologies — electric and autonomous vehicles, drones and Internet of Things (IoT) devices — will shape the transportation industry, and our quality of life, into the next decade. While most individuals residing in the United States don’t own an electric vehicle (EV), the progress of this technology is emblematic of the rise of digital technologies and the electrification of everything.
It was a century ago when car adoption was all the rage. Henry Ford pioneered mass-production techniques that later became industry standards. Between 1920 and 1930, the number of vehicles per 1,000 people grew from 86 to 217. While individuals and businesses aren’t converting from horse and buggy to steel on wheels, the transition to EVs and plug-in hybrids has gained considerable momentum in the past decade.
In 2023, approximately 1.2 million vehicle buyers in the United States opted for EVs, setting a new record. In the same year, EVs emerged as the fastest-growing segment in car sales, capturing 7.6% of the entire U.S. vehicle market, a notable rise from 5.9% in the preceding year. For comparison, in 2013, only 97,000 vehicles sold were plug-in EVs. The United States may be hovering around three EVs per every 1,000 people, but the growth rate has experienced only minor hiccups within the past decade.
The transformation of the automobile industry is one component of a dynamic transportation ecosystem that is rapidly changing. The promise — and perils — of innovation are transforming commerce, security and everyday human interactions.