The Japanese auto industry pioneer Toyota will make an investment with Uber ride sharing company as announced by the two companies on Tuesday. This alliance will be a chance for the companies to develop more in the ride-sharing industry. Toyota has stated that the company will provide lease options to Uber driver through Toyota Financial Services and the car purchase amount can be filled in from their Uber payments income.
The investment is made from the names of Toyota Financial Services Corporation and Mirai Creation Investment Limited Partnership. This will see more Uber vehicles on the road as the plan goes into action and the company has revealed that there are several people already looking forward for the move by two companies.
This move by Toyota has been seen as an expected one as most automakers are rushing to find auto-sharing alliances to improve their business as the major technological companies like Apple and Google stepping into auto industry.
Automobile Industry and Ride-Sharing Company Alliances:
Volkswagen recently announced an investment of about $300 million in the ride sharing company called Gett.
Uber is one of the major ride-sharing companies in US and its biggest rival is Lyft. Lyft had one of the major auto companies, General Motors to invest $500 million to create an array of self driving cars. This was announced about 5 months back.
Apple Inc., the dominator of the tech industry has also announced an investment of $1 billion in Didi Chuxing, a Chinese ride-sharing company and has been rumored to be a move by the tech giant to make its presence in the booming Chinese industry scenario.
Speculations are still running over the statement by Ford Motors Chairman, Bill Ford whereby he stated that the year will see more progress from Ford Motors beyond the production and sale of cars.