|Photo by: Mimzy via Pixabay|
Lyft is partnering with major automotive supplier Magna to develop and deploy autonomous cars. The ride-hailing company will reportedly lead the vehicle development while Magna will be responsible for the manufacturing and it will also share its knowledge in vehicle systems, safety, and driver assistance.
The two companies hope that their partnership will allow them to deliver the technology on a large segment of the market in a few years. Aside from the money that Lyft will need for this project, Magna is said to also invest $200 million to the transportation company.
The teamup brings strong incentives because if Lyft is serious in competing with Uber and embracing autonomous ridesharing in its fleet, it will need a driving system that is economical and refined among its volume of cars.
The Canadian automotive supplier has earned $38 billion in revenue in 2017 and with a $19 billion market value. It is also a member of an association that includes Intel, Mobileye, and BMW which is tasked to develop a driverless vehicle platform for automakers. The company creates in-car technology and auto parts. For instance, they build mirrors, advanced driver assist systems, and powertrains. Magna’s major customers are Toyota, BMW, Tesla, and Volkswagen.
Lyft claims that with Magna’s help, it would be a part of their plan to “democratize” self-driving.