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    General Motors Forms Alliance With Lyft, Invests $500 Million


    • A New Alliance Between GM and Ride-Sharing Service Lyft Looks Towards the Future


    General Motors announced this morning a new alliance with ride-sharing company Lyft to develop an on-demand network of autonomous vehicles. GM has also invested $500 Million into Lyft as part of a round of a $1 billion round of fund-raising - one of the largest investments GM has made into a company.

     

    Lyft is a ride-sharing company that connects passengers who need a ride with those who have a car via an app. The app also automates payments to drivers.

     

    The goal of two companies is to build out a network of hubs around the U.S. where people can summon an autonomous vehicle via Lyft's app. The partnership with GM could give Lyft over its competitor Uber, which is also developing a network of autonomous vehicles.

     

    In the short term, the two are planning on opening a number of hubs that Lyft drivers can rent GM vehicles. This gives GM a leg up against the likes of Diamler and Ford who are developing their own ride-sharing services. GM will also have a seat on Lyft's board of directors and access to Lyft's app.

     

    “We see the future of personal mobility as connected, seamless and autonomous. With GM and Lyft working together, we believe we can successfully implement this vision more rapidly,” said GM President Dan Ammann in a statement.

     

    Speaking with the Associated Press, Ammann and Lyft Co-Founder and President John Zimmer said the two companies started having serious discussions about three months ago. Both see massive changes coming in the model of car ownership and have similar visions on how to deal with it.

     

    Source: The Detroit News, GM

     

    Press Release is on Page 2


     

    GM and Lyft to Shape the Future of Mobility

     

    SAN FRANCISCO – General Motors and Lyft today announced a long-term strategic alliance to create an integrated network of on-demand autonomous vehicles in the U.S.

     

    GM will invest $500 million in Lyft to help the company continue the rapid growth of its successful ridesharing service. In addition, GM will hold a seat on the company’s board of directors.

     

    “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.”

     

    Key elements of the GM and Lyft alliance include:
    Autonomous On-Demand Network: The joint development of a network of on-demand autonomous vehicles will leverage GM’s deep knowledge of autonomous technology and Lyft’s capabilities in providing a broad choice of ride-sharing services.
    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 have access to GM’s wide portfolio of cars and OnStar services, leveraging two decades of experience in connectivity. This will create a richer ride-sharing experience for both driver and passenger.
    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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    Interesting, wonder how much pressure will be on Lyft to have their drivers use GM auto's.

    We'll see. This does give GM a nice leg up on autonomus driving tech spread out and Lyft a nice boost against uber.

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    Well, nobody has an advantage yet.  The players are all cautiously aligning to a future that is not yet known or developed as of yet,

    This does give GM an advantage over everyone else as they are in with the customer NOW on Lyft and I can see Lyft putting together a deal for their drivers to buy GM autos for daily use in their job.

     

    Ford and Chrysler have nothing there yet.

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    What's interesting is GM's access to the Lyft app... There is probably going to be some data sharing going on that would give a huge amount of information to GM on how vehicles are used in this type of service.  This is every bit a knowledge purchase for GM.

     

    Johan has already stated that there are no longer technical hurdles to autonomous driving, only legal ones.

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    Well, nobody has an advantage yet.  The players are all cautiously aligning to a future that is not yet known or developed as of yet,

    This does give GM an advantage over everyone else as they are in with the customer NOW on Lyft and I can see Lyft putting together a deal for their drivers to buy GM autos for daily use in their job.

     

    Ford and Chrysler have nothing there yet.

     

     

    They have simply announced what they will do thus far, which yes, includes these hubs to discount GM vehicles. 

     

    I am pretty sure the competition can follow that lead pretty easily, if they have not already thought of it.

     

    But again, future near term stuff. No advantages yet.  For anyone.

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    Well, nobody has an advantage yet.  The players are all cautiously aligning to a future that is not yet known or developed as of yet,

     

     

    Well, the younger crowd is not into cars the same way we are.....this offers rides to those who do not want to deal with ownership of a car.

     

     

    Can't blame them with the rising costs of everything.....

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    I think what we all should agree on, is that the landscape for automotive sales and transportation is on the brink of radical change for everyone.  We will hardly recognize it in the next 10 years, maybe sooner.

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    Well, nobody has an advantage yet.  The players are all cautiously aligning to a future that is not yet known or developed as of yet,

     

     

    Well, the younger crowd is not into cars the same way we are.....this offers rides to those who do not want to deal with ownership of a car.

     

     

    Can't blame them with the rising costs of everything.....

     

    what will happen is the cost of periodically having access to a car will evolve into costing as much then as it does not to make the car payment etc. and having your own car.  They will figure out how to profit more by leasing the service instead of selling the car and take just as much of your money in the process.

     

    between EPA mandates NHTSA mandates and the movement afloat to kill car ownership and driving yourself, now you know why there is not much resources put into fun cars anymore.  All the R&D is going for other things,

    Edited by regfootball
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    Well, nobody has an advantage yet.  The players are all cautiously aligning to a future that is not yet known or developed as of yet,

     

     

    Well, the younger crowd is not into cars the same way we are.....this offers rides to those who do not want to deal with ownership of a car.

     

     

    Can't blame them with the rising costs of everything.....

     

    what will happen is the cost of periodically having access to a car will evolve into costing as much then as it does not to make the car payment etc. and having your own car.  They will figure out how to profit more by leasing the service instead of selling the car and take just as much of your money in the process.

     

    between EPA mandates NHTSA mandates and the movement afloat to kill car ownership and driving yourself, now you know why there is not much resources put into fun cars anymore.  All the R&D is going for other things,

     

     

     

    But with the population growth, it was only a matter of time.....So profit will happen one way or another....

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    I see where this will play now. GM has targeted the Bolt and I expect most EV cars to this in the Cities. Most people can not own a EV in town as they do not have a place to charge them let alone park them.

    This way they do not have to buy them, they do not need to charge them and they do not have to park them.

    Lets face it the best place for an EV is in a downtown Metro area but it is the worst place to own a car let alone a EV car with no charging stations.

    They really have invented the Johnny Cab from the Arnold movie.

    Edited by hyperv6
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