BMW Seeks To Be 'Coolest' Ride-Hailing Firm With Autonomous Car
Reuters
1 min read
Dec 05, 2016, 03:21 PM
Key Highlights
- BMW will test autonomous vehicles in Munich next year
- Autonomous vehicles will help accelerate pay-per-use transport for BMW
- BMW plan to take software and technology companies head on
BMW will test autonomous vehicles in Munich next year as it seeks to keep up with ride-hailing firms like Uber, which have spent billions on pay-per-use personal transport. The German carmaker will have about 40 vehicles with self-driving functions in Munich's inner city and then expand the project to other cities, BMW executives said on Friday.
"There is a trained test driver behind the wheel of every car," Klaus Buettner, BMW's Vice President in charge of Autonomous Driving said. Uber's rapid growth has prompted BMW to consider how autonomous vehicles may help them accelerate their own push into pay-per-use transport.
Software and technology companies like Lyft, Juno and Uber have shaken up the traditional auto industry business model of selling cars by offering customers an alternative to vehicle ownership through smartphone-based ride-hailing services. Now traditional car companies are expanding their own ride-hailing schemes, while investing in self-driving technology.
"Ride hailing is nothing more than manual autonomous driving," Tony Douglas, Head of Strategy for BMW's mobility services said. "Once you dispense with the driver you have a license to print money." BMW has already made significant progress expanding into the market for car sharing by introducing pay-by-the-minute services like ReachNow in Seattle, Douglas said.
"We had 14,000 people sign up in 4 days, in a market already served by Zipcar, Uber, Lyft and Car2go," Douglas said. "Someone else spent the money to educate the market and then we came in with a cool product. We will not be the largest, but we can be the coolest," Douglas said. BMW plans to use not just its expertise making premium vehicles, but also its ability to manufacture, own and manage fleets of premium vehicles.
"Uber and Lyft do not operate their own fleets of cars. Owning the fleet means you can make offers that Lyft and others are unable to provide. For example providing car sharing for a specific community only," BMW's Chief Executive Harald Krueger said.
"There is a trained test driver behind the wheel of every car," Klaus Buettner, BMW's Vice President in charge of Autonomous Driving said. Uber's rapid growth has prompted BMW to consider how autonomous vehicles may help them accelerate their own push into pay-per-use transport.
Software and technology companies like Lyft, Juno and Uber have shaken up the traditional auto industry business model of selling cars by offering customers an alternative to vehicle ownership through smartphone-based ride-hailing services. Now traditional car companies are expanding their own ride-hailing schemes, while investing in self-driving technology.
"Ride hailing is nothing more than manual autonomous driving," Tony Douglas, Head of Strategy for BMW's mobility services said. "Once you dispense with the driver you have a license to print money." BMW has already made significant progress expanding into the market for car sharing by introducing pay-by-the-minute services like ReachNow in Seattle, Douglas said.
"We had 14,000 people sign up in 4 days, in a market already served by Zipcar, Uber, Lyft and Car2go," Douglas said. "Someone else spent the money to educate the market and then we came in with a cool product. We will not be the largest, but we can be the coolest," Douglas said. BMW plans to use not just its expertise making premium vehicles, but also its ability to manufacture, own and manage fleets of premium vehicles.
"Uber and Lyft do not operate their own fleets of cars. Owning the fleet means you can make offers that Lyft and others are unable to provide. For example providing car sharing for a specific community only," BMW's Chief Executive Harald Krueger said.
© Thomson Reuters 2016
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
Related News
Popular BMW Models
Latest Cars
Upcoming Cars
Latest News
Hansaj Kukreti | Jan 28, 2026Nissan Reveals Solar-Powered Ariya EV ConceptNissan has showcased a new Ariya crossover concept that utilises solar energy to reduce dependency on fixed charging.1 min read
car&bike Team | Jan 28, 2026BMW X3 30 xDrive Petrol India Launch On Feb 16More powerful variant of the X3 will be offered in M Sport Pro trim with pre-bookings set to open on January 30.1 min read
Jaiveer Mehra | Jan 28, 2026Toyota Urban Cruiser Hyryder Gets Head-Up Display, Dash Cam With Optional ‘Tech Package’New Tech Pack is offered across all variants and adds in ambient lighting, a head-up display and a dash cam for an additional Rs 29,499.1 min read
car&bike Team | Jan 28, 2026Built for the Long Haul: 1700 Kms on A Triumph Scrambler 400 XA memorable ride with the Triumph Scrambler 400 X from Gurugram to Panchgani to celebrate India Bike Week.1 min read
car&bike Team | Jan 27, 2026MG Majestor Previewed Ahead Of February 12 LaunchSet to be positioned as a more premium alternative to the Gloster, the Majestor is also set to go up against the popular Toyota Fortuner.1 min read
Janak Sorap | Jan 27, 2026Yamaha Recalls Fascino 125 and RayZR 125 Over Front Brake IssueYamaha has announced a large-scale recall impacting over three lakh scooters in India.1 min read
Bilal Firfiray | Jan 21, 2026Tata Punch Facelift Review: New Turbo Engine; Same Old SoulWith the update, the Tata Punch facelift retains its character of being a healthy runabout, which is perfect for Indian roads. But have these changes made it any better?7 mins read
Amaan Ahmed | Jan 17, 2026Bajaj Chetak C25 First Ride Review: Basic, Likeable E-Scooter For First-Time RidersThe Chetak C25, in quite a few ways, is poles apart from the larger and more powerful 30 and 35 Series models, but in its mannerisms, it is very much a Chetak.8 mins read
Bilal Firfiray | Jan 9, 2026Toyota Urban Cruiser Hyryder: 10,000 km Long-Term ReviewAfter spending over three months and 10,000 km with the Toyota Urban Cruiser Hyryder Hybrid, we were impressed by its real-world mileage, seamless hybrid, practical comfort, and Toyota reliability. Is it the best C-SUV then?5 mins read
Seshan Vijayraghvan | Jan 8, 20262026 Mahindra XUV 7XO Review: Big On Tech, Bigger On ComfortThe new Mahindra XUV 7XO is flashier, feature packed, and comes with more advanced tech. But are the changes just incremental or actually substantial?1 min read
Preetam Bora | Jan 10, 2026Simple One Gen 2 First Ride Review: 265 km Claimed Range!The Gen 2 model of Simple Energy’s first electric scooter gets a fair few updates, including new features, tech, more range and lighter weight. We spent a couple of hours with the Simple One Gen 2 to find out if it manages to impress.6 mins read