Fresh Off Lyft Investment, GM Acquires Crucial Sidecar Assets
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General Motors continued its not entirely silent entrance into the ride-sharing marketplace by acquiring assets from Sidecar.
The report explains that GM’s move isn’t nearly as extensive as its meandering into Lyft operations but is entirely intriguing when it comes to the future of this particular corner of the travel industry.
Bloomberg Business states: “The automaker has acquired the technology and most of the assets of the San Francisco-based ride-hailing pioneer Sidecar Technologies Inc. GM is also bringing on board around 20 employees from the Sidecar team, including co-founder and Chief Technology Officer Jahan Khanna. Co-founder and Chief Executive Officer Sunil Paul is not joining GM.”
As TravelPulse’s Michael Isenbek reported earlier this month, Sidecar made the decision to cease its competitive efforts with the likes of Uber and Lyft.
Then came news that GM, in its infinite wisdom, decided to plunk a nice chunk of change on Lyft, hopefully solidifying that it would have some involvement in the unfolding evolution in how many commuters—local or otherwise—get from Point A to Point B in major cities around the nation.
The automaker invested a whopping $500 million in Lyft, which also gave the company a seat on the board of the ride-sharing app that is second to only Uber in popularity.
So it’s interesting to see GM traipse ever deeper into the fray, signaling where it might see the future of the industry going.
And, as Bloomberg Business notes, this is much ado about following suit with the rest of the market: “Ford Motor Co. CEO Mark Fields has said his company is working on its own ride-sharing service. In 2014, Daimler AG acquired German ridesharing apps RideScout and mytaxi.”
The most immediate outcome may be the budding spotlight on Maven, which is reported to be the next project for GM that features many of the innovations seen from the likes of Uber and Lyft.
The report continues on the newly dubbed Maven, “The initiative may allow owners of GM vehicles to give rides to other passengers who are commuting in the same direction.”
It’s quite clear, especially when viewing the hardships of cab companies, that ride-sharing companies have more than just a niche of the travel market locked up.
From the ubiquitous riders using like services to traverse their respective cities to the millions being invested into their futures, it’s abundantly obvious that more travelers have an expectation that when they want a ride at an affordable rate they will more readily thumb their smartphones and request service.
Car companies are wise to do what they can to ensure they are party of the journey.
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