I'm more concerned of what these cars will do to highway capacity and therefore traffic congestion due to the excessive lag/follow distance their algorithms impose. While they should be following at < 1sec lag due their super-human reflexes, what you actually see (http://www.youtube.com/watch?v=TRIOE1IZrq4) is sub-human follow times and it's apparently the only car on the road that's frequently pumping on the breaks (which consequently makes following cars increase their lag time as well).
I've also read that they won't exceed the speed limit, which is significantly more dangerous than driving with the flow of traffic. I hope it knows enough to move over when being overtaken from behind. If you're driving 65mph on I-280 between San Fran and San Jose with no traffic, you are the slowest car on the road by between 20-40mph. The road has long straightaways, often 1+ miles of visibility, well paved, and I'm often overtaken while going 90mph.
I expect that the experience of having to share the road with these devices, as they start to become more common, will transition from, "Gee that's cool" to something more like "Geez, get off the road Goorama!"
I don't see any way they can exceed the speed limit right now - the legal liability alone would be huge. The best solution to the problems you're posing would be to adopt an German autobahn-like system.
It seems simple to give the user control of a 'speed adjustment factor', and hence transfer liability to the user. Should be no different from adaptive cruise control letting me pick a speed. Cruise control doesn't stop working at 100mph.
Personal liability for operation of your automobile, regardless of the level of digital augmentation, must be very hard to relinquish.
I mean, they are willing to take over steering the car, but oh no, they can't break the speed limit while doing it?
More realistically, they don't break the speed limit because their error tolerances fall too much when they do.
But that was some time ago - were there other accidents, they've probably driven much more miles now?
And regarding speed-limits - I think that it's a great thing; speed limits need to be set to an honest number where I cannot get ticketed, ever, for simply driving at the appropriate speed, but apparantly the only thing that can force the bureaucrats to update those limits will be an army of robots that actually try to obey the law.
Also call me when they get to tens of millions of miles, eg what's driven every day in the US.
http://en.wikipedia.org/wiki/Google_driverless_car#Incidents
I'd rather have them say, we can encountered 100,000 different conditions (and combinations) and we know how to react to them.