How it works: Picture a car that can see, hear, and act like a human driver. AVs rely on artificial intelligence to interpret data from cameras, lidar radar, regular radar, and other sensors. All of these sensors combine to create a 360-degree view of the environment – other cars, people walking, traffic signals, and even road markings. At this stage, AI algorithms take over to process all the data and estimate what other drivers intend to do and what the optimal course of action will be.