Jaguar Land Rover is to invest $ 25 million (£19m) investment in Lyft, aiming to support the US ridesharing firm’s expansion and technology plans.
The investment, made through InMotion Ventures, an investment firm linked to Jaguar which focuses on mobility and smart transportation, was included in Lyft’s most recent round of funding in April which totalled approximately $ 500 million.
InMotion had previously invested in SPLT, a Detroit-based ‘enterprise carpooling’ provider, which works with Lyft on providing non-emergency medical transport.
“We are excited to collaborate with a leading platform like Lyft not only on developing premium mobility solutions, but also devising innovative solutions to the transport problems Jaguar Land Rover’s customers face,” said Sebastian Peck, InMotion managing director. “Personal mobility and smart transportation is evolving, and this new collaborative venture will provide a real-world platform helping us develop our connected and autonomous services.”
“This is a strategic investment for both parties as we focus on innovating new mobility solutions for our customers,” added Hanno Kirner, executive director of corporate and strategy at Jaguar Land Rover. “Collaborating with an expanding technology business like Lyft is going to help us both accelerate our ambitions.”
Lyft’s most recent valuation was at $ 7.5bn, considerably lower than that of rival Uber, but without the vast majority of the bad press which has come the latter’s way over the past several weeks, culminating in the firing of 20 employees and the leaving of several top executives, including business head Emil Michael.
The company is awaiting the findings of a report prepared by former US attorney general Eric Holder around the company’s culture. Yet reports in the tech press argue the extent of the furore. Speaking to The Verge, Bradley Tusk, an advisor at Uber, argued that ‘no matter how bad the PR gets for Uber, consumers don’t seem to care…and Lyft still can’t catch up.’