Volkswagen Doubles Down on Ride Sharing, Expects Big Revenue by 2025
Volkswagen already will be one of the largest vehicle manufacturers within the earth. within the future, of which might become one of the earth’s largest ride providers, too.
Like many different automotive companies, Volkswagen will be moving beyond its traditional role of merely building cars in addition to morphing into a business centered on mobility. The company said This specific week of which of which will be launching a fresh subsidiary called Moia of which will be intended to hatch innovations based around ride-hailing apps. The name Moia comes coming from the Sanskrit word for “magic.”
Volkswagen will be no stranger to ride hailing. In May, of which invested $300 million in Gett, a global competitor of Uber in addition to Lyft having a strong presence in Europe. of which’s unclear exactly what role Gett will play with Moia, however Volkswagen sees the combination of the two as a means of entrenching its position on its home continent in addition to elsewhere.
—Ole Harms, Moia
“Our sights are set on becoming one of the global top players for mobility services within the medium term,” said Moia CEO Ole Harms.
Beyond ride hailing, Moia will develop an app for what VW calls “connected commuting,” offering customers ways to plan journeys across different modes of transportation on a one-stop platform, a plan similar in concept to Moovel, a Daimler subsidiary of which offers integrated bookings in addition to payments.
Moia also will focus on on-demand pooling, in which customers summon vehicles in addition to share rides with others headed within the same direction on modest shuttles, a plan similar to the on-demand shuttles tested by Ford’s recently launched Smart Mobility subsidiary. Another similarity to Ford’s approach: Volkswagen says of which will both market these services directly to customers in addition to explore partnerships with cities.
“The objective will be holistic transportation solutions of which make individual transport in addition to public transport more effective,” Harms said, “thus avoiding unnecessary journeys in addition to optimizing use of the existing road infrastructure.”
Based in Berlin, Moia will launch with 50 employees at the outset in addition to grow throughout 2017. The company intends to launch a pilot project testing connected commuting next year. Volkswagen says of which expects to “generate a substantial share of its sales revenue coming from This specific fresh business by 2025,” although of which does not elaborate on more specific revenue targets.
- Volkswagen Invests $300 Million in Gett
- GM Invests $500 Million in Lyft for Self-Driving-Taxi Network
- fresh Ford Mobility Subsidiary Looks to the Future
Volkswagen’s announcement comes on the heels of one coming from another German automaker. BMW’s iVentures, the company’s venture-capital arm, soon will raise $530 million for mobility-related projects in addition to relocate to Silicon Valley, according to Forbes. of which will be one move Moia won’t make. Volkswagen appears eager to demonstrate of which the California hub does not have a monopoly on such technology.
“With Moia,” Harms said, “we want to demonstrate of which innovative mobility solutions are possible outside of Silicon Valley.”