MIT Technology Review notes a few serious issues with driverless cars - to date they have been used in very constrained environments. Problems tend to get solved, but not overnight. I would image they will first begin to appear in environements created for them - new megacities for example. It should also be noted that cars - with or without drivers - are not a very efficient way to move people around in urban areas.
Many microcar designs came out of post WWII Europe - cheap transportation for a devastated, but rebuilding economy. A few designs, like the Fiat 500A, began before the war but saw production continue afterwards. 127" long, 50" wide and 54" high, 13 horsepower, a top speed of about 50 mph and roughly 40 mpg. The engine is tiny and almost on top of the front wheels giving enormous legroom. It was said seven foot tall drivers could be accomodated.
It's hard not to laugh when looking at photos of Markus Moestue riding along on his self-built dinosaur bike. However, the creative project is actually intended to be quite serious. The Norwegian artist developed the completely bizarre mode of transportation to travel across the bible belt of Norway as a form of protest. Moestue explains, "It is a protest against the dogmatic religious education of children, and the idea originated from the theme-parks of creationists that teach children that humans and dinosaurs used to live together."
Tesla, with two important new models on the horizon, is in a place where growth and perception are extremely important. The cost of a warranty extension is real, but certainly much less important. In theory, as they get the engineering and design sorted out, electric drive trains should be much more reliable than those internal combustion based drive trains.