Lyft sells its automated driving group to Toyota for $550 million

April 29, 2021
Consumer More...
by Lewie Roberts
Very important

Just as Uber sold off its autonomous vehicle (AV) team at the end of 2020, Lyft is now selling its AV group (named Level 5) to Toyota. Level 5 will become a part of Toyota's Woven Planet, a mobility-focused holding company with an investment arm. The deal is not exclusive, and Lyft will continue to work with its AV partner Motional (formerly Aptiv) while Toyota continues work with Aurora. Lyft noted that this sale will "remove $100 million of annualized non-GAAP operating expenses on a net basis." As the number of acquisitions of AV companies focused on ride-hailing increases, it's becoming clear that such companies just don't have enough money to fund a capital-intensive, competitive AV program without sacrificing profitability.

For the original news article, click here .

Further Reading

Canoo pivots to fleet sales, dropping its subscription plan and partnership with Hyundai

News Commentary | April 12, 2021

Electric vehicle manufacturer Canoo announced the surprising change in strategy during an investor conference call. Shortly after announcing the departure of two senior leaders in the organization, the company announced it would no longer pursue selling its platform to incumbent automakers. ... To read more, click here.

Bosch acquires autonomous driving startup

News Commentary | April 15, 2022

Financial details of the acquisition, which is still subject to approval by antitrust authorities, will remain undisclosed. Bosch will take over both the IP and roughly 140 employees in the U.K. was initially developing a full‑stack autonomy system for robotaxis but then shifted ... Not part of subscription

Daimler Truck makes minority investment in Apex.AI

News Commentary | May 12, 2022

With an investment of an undisclosed amount in Apex.AI, Daimler Truck joins a group that includes Toyota Ventures, Volvo Group Venture Capital, Airbus Ventures, among others. This investment therefore shows the trust of another big player in Apex.AI's capabilities. Apex.AI develops safety‑certified ... Not part of subscription