General Motors Invests $500 Million Into Lyft For Future Autonomous Vehicle Networks1
Things are changing. Mobility is changing. The automobile industry is changing. Automakers are rushing to cement a stake for long-term profitability, and ride-sharing services and tech seem to be the go-to sources as of recent.
This is only highlighted with General Motors’ latest announcement. Today, the automaker announced a $500 million investment into ride-sharing service “Lyft” to create an “integrated network of on-demand autonomous vehicles in the U.S.”
“We see the future of personal mobility as connected, seamless and autonomous,” said GM President Dan Ammann. “With GM and Lyft working together, we believe we can successfully implement this vision more rapidly.”
John Zimmer, president and co-founder of Lyft, said: “Working with GM, Lyft will continue to unlock new transportation experiences that bring positive change to our daily lives. Together we will build a better future by redefining traditional car ownership.”
GM listed five key elements of the strategic partnership with the announcement, and they are as follows:
- Autonomous On-Demand Network: GM will share its knowledge of autonomous vehicles with Lyft in return for the ride-sharing service’s wealth of experience with ride-sharing services. The end goal is to create fleets of autonomous networks across the United States.
- Rental Hub: beginning immediately, GM will become a preferred provider of short-term use vehicles to Lyft drivers through rental hubs in various cities in the U.S.
- Connectivity: Lyft drivers and customers will gain access to the portfolio of GM vehicles and suite of OnStar connectivity services.
- Joint Mobility Offerings: GM and Lyft will also provide each other’s customers with personalized mobility services and experiences through their respective channels.
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Great business move.
Ride sharing in it’s various forms is not going anywhere anytime soon and is only likely to get much bigger.
Manufacturers can either get on board or get left behind.