Maybe some of that will go to drones but the point is that a device that shows up at your door and goes to any other door in the city for opens a huge number of new opportunities.
Or maybe someone will invent self driving bicycles/scooters for delivery tasks.
Safety is a factors, but that is more weight than size, 4 full grown adults take up a lot of space.
Of course if we ban cars we can't expect everyone to use a bike instead, or to rely on current public transport network. Train, tramway, metro, bus (, something new?) all need to be vastly reinforced (something between 10x and 100x maybe?) but there's room for that once cars are out of the picture (both from roads and parking space).
Cars are convenient, but not efficient at scale (and too dangerous, for now at least). We need another solution, and I think it has to be radical to really work. But then, banning or greatly reducing car use in cities will be a tough one..