NEWS COMMENTARY

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

Published:
April 29, 2021
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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 .


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