I agree that transit is ultimately the most important.
Then it won't be a question of mass transit vs. bikes but both together - that'd make a bunch of more commute options workable for me.
I can't take a bus from my driveway to my work. Nor does the path a bus take usually end up being the most direct one.
That said, I'm not greatly convinced that this model is better. It's more efficient, certainly, but I regard this in the same way that a nutrient paste is more efficient than eating regular meals. Walking as a part of daily life strikes me as something that has a lot of positive externalities.
They are better for some things and worse for others. They are less efficient per passenger-mile, so they are worse for high-traffic arteries. OTOH, they are cheaper per mile travelled, so they are better for connecting the endpoints to the well-travelled arteries, and in some cases (where relatively little of the trip is on a well-travelled artery where mass transit is efficient) for end-to-end services.
Single-occupant vehicles simply occupy too much lane space, especially at peak use hours. Transit routes are most efficient when structured as point-to-point. I've seen several commuter systems in which buses collected riders over a small area, then travelled to a (preferably concentrated) business / commercial area where riders disembarked. You limit loading/deloading and dwell times, and maximize time-in-motion (which increases net average speed). Most urban transit systems achieve net speeds little over a walking pace (10-15 MPH isn't uncommon) due to frequent stops and congestion.
The real killer with transit systems though is transfers. Having to wait 5-10 minutes (or 20-30) for a connection really extends your commute time. Realize that at highway speeds, that translates to 5-30 miles of commute distance, and even at urban speeds, 3-10 miles of lost travel distance. To say nothing of the stress of wondering where the bus/train is and when / whether it will arrive.
So: with an autonomous self-driving multiple-occupant vehicle, passengers could flag a ride, the dispatching system would match requests with livery by start and end points, and route accordingly.