As it stands today, unmanned vehicles (entirely operated by AI with no human intervention) still has shortcomings from accidents or collisions. Also, how would society react to AI being the driver? If there’s no steering wheel on an entirely AI operated car: how can you override its protocols when it becomes rogue? There are “self driving” cars, but how many use that as their main mode of transportation than driving a car?
The technology for it exists, but remains rather niche since there’s still more cars driven by people than cars operated by AI. Do YOU want to replace your own car with an AI operated one or rather keep one meant to be used by humans? As of now, it’s rather rare unless you happened to spot one whilst on the road. Most car dealerships only sell “normal” cars intended for humans, even Teslas still require a human driver.
At least 60% of the world population live and work in dense urban areas where rail can leave them on walking distance of both work and home. 20% more live in places dense enough for urban buses. So 80% of the world population doesn't need a car.
As for costs, the day drivers are forced to pay the externalities of their driving is the day cars die as a form of regular transport.