The automobile industry is advancing and coming up with innovative technological incorporations in the industry. The drive for innovation and modernity in the industry has paved the way for multiple organizations to come together and get involved in joint efforts to pursue and achieve excellence in the industry. There are collaborations being made between companies to deliver the best by joining resources in multiple forms.
Recently, collaboration is seen between Argo and Ford. These automakers have joined hands to deliver a modernized way of commute. They are working relentlessly to build a vehicle fleet that will be entirely autonomous. Both of these companies are working along with Lyft for this objective.
The product is basically a self-driving car that will be brought to market, starting from Miami. Later in next year, the operations will be spread in Texas and Austin. These rides will be made available with safety drivers. It is speculated that the companies will deliver about 1000 cars to their customer base in the course of next five years.
Uber and Lyft have retracted their investment of resources in self-driving cars. Lyft sold their unit to Toyota for about 550 million dollars, and Uber sold the unit to Aurora which is basically owned by Amazon and Hyundai. It was done due to huge costs and safety issues. These transactions made it possible for the companies to come together and provide their specialized resources for one common objective.
The agreement states that Lyft will be the recipient of 2.5% of the common equity of Argo AI. This company is originally supported by Ford and Volkswagen. It is an autonomous startup that plans on going public soon. There is competition in the industry in terms of bringing self-driving cars. General Motors is also planning to bring one to the table in this decade. Volkswagen and Ford are also working on such models. The fleets in question have already been tested in Austin; Detroit; Miami; Palo Alto, California; Pittsburgh; and Washington, D.C.