Toyota Pours $1.5 Billion Into Mobility Services Globally

Toyota Pours $1.5 Billion Into Mobility Services Globally

Toyota has established itself as one of the biggest financial supporters of ride share services internationally. Between US based company Uber and Grab in Singapore, they have recently pumped over a billion and a half dollars into this technology. It appears that instead of attempting to throw their hat into the ring of ride hailing providers, they have opted to invest in existing industry leaders.

"We recognize that the mobility-as-a-service players control vast numbers of drivers and users, and are gaining supremacy over their local transportation systems," said Shigeki Tomoyama, the global head of Toyota's connected car division in a recent interview. "It's not realistic for us to try and set up a car-rental or ride-hailing service from scratch in a market like the U.S. or Asia."

The majority of Toyota's contributions into Uber lie with the development of an autonomous minivan for Uber's robotaxi project. For Grab, they are providing technology that will enable the company to rent out almost exclusively specialized Toyota vehicles for consumer's rental. Currently three fifths of the vehicles the service rents our are Toyotas, but recent heavy financial and technological investment will hopefully make their arrangement exclusive.

The next step for Toyota may be a partnership with Chinese company Didi Chuxing Inc., which is another major player in global ride sharing. As of this time, though, neither company has been able to determine exactly how to best assist one another. 

Toyota CEO Akio Toyoda has said that the industry shift is threatening the very existence of the company his grandfather founded in 1937, meaning they must adapt to the changes, or better yet get ahead of them.

Flexible rental and ride hailing services may be the most practical options in different areas in the world, and Toyota plans to have those services available with their vehicles at the forefront.

Like what you've read? Let us know! Our partners at Tom Wood Collision Center in Indianapolis, IN strive to provide you with informative and entertaining content.

Written By: Todd Hendrickson
Source: autonews.com