You are here: Home » International » News
Business Standard

Toyota acquires US-based Lyft's autonomous car division for $550 million

Toyota is acquiring the autonomous car division of ride-hailing platform and Uber rival Lyft for $550 million, as the self-driving car industry begins to grow

Autonomous vehicles | Toyota  | Lyft

IANS  |  San Francisco 

Lyft Inc, Lyft

is acquiring the autonomous car division of ride-hailing platform and Uber rival for $550 million, as the self-driving car industry begins to grow.

Woven Planet Holdings, a subsidiary of Toyota, will acquire Lyft's self-driving division, Level 5, for $550 million in cash.

has provided $200 million to and the $350 million will be paid out to over five years, The Verge reported on Tuesday.

The ride-hailing company says it will see an annual savings of $100 million of non-GAAP expenses, which it claims will better position it to ultimately earn a profit. has also agreed to use Lyft's fleet data and platform for any commercial service it eventually launches under its Woven Planet subsidiary.

Last year, Uber sold its autonomous vehicle devision to Aurora, a startup founded by the former head of Google's self-driving project.

Lyft launched its Level 5 division in 2017, saying that by 2021, "a majority" of its rides would take place in

"The company hired hundreds of engineers to staff a 50,000-square-foot facility in Palo Alto, California. A year later, Lyft acquired the UK-based augmented reality startup Blue Vision Labs for a reported $72 million in the hopes of accelerating its efforts," the report mentioned.

But the industry did not take off as Lyft expected. Most such vehicles on the road today are still test vehicles.



(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Tue, April 27 2021. 10:04 IST