Daimler AG and BMW AG are planning to merge their car-sharing operations. It will be the world’s biggest luxury-vehicle maker’s team up to take on ride-hailing providers such as Uber Technologies Inc., both the companies said that they are aiming to become a “leading provider” of new ways to get around cities, where more people will see cars as a service they can use when ever needed. Customers use a smartphone app to find and unlock cars parked on city streets and use them for short periods when needed.
This 50-50 joint venture requires approval from the anti-trust authorities. The companies did not disclose what its name, headquarters, annual revenue would be, or what executives would run it.
Premium Cars coming in mobility service
Daimler AG CEO Dieter Zetsche said as they are pioneers in automotive engineering, they won’t be leaving the task of shaping future urban mobility to others, there will be more people than ever before without a car who will still want to be extremely mobile. They want to combine their expertise and experience to develop a unique, sustainable ecosystem for urban mobility.
Chairman of the Board of Management of BMW AG Harald Krüger said that the BMW Group is shaping into future mobility – and striking out in the new directions to do so. Their new Strategy is NUMBER ONE > NEXT provides the BMW Group with a roadmap to a digital and emission-free future, combining their mobility services as planned will create a unique digital ecosystem. This alliance will make it easier for the BMW AG customers to discover the emission-free mobility of the future. They will remain competitors when it comes to the best premium vehicles. The planned merger of their mobility services will pool their resources and sends a strong signal to their new competitors.