The BMW Group and Daimler AG have agreed to a partnership to combine its urban mobility services into one business unit.
The two German automotive giants will merge its existing mobility strategies related to car sharing, ride-hailing, parking, charging and multimodality.
Each company is set to hold a 50 percent stake in the joint-venture, which is subject to approval by the responsible competition authorities.
BMW’s car-sharing business DriveNow will merge with Daimler’s own version, Car2GO, to operate a total of 20,000 cars in 31 international cities.
The process will also apply to the BMW-owned ParkNow and Daimler-owned Parkmobile Group digital parking systems, and to the companies’ respective electric vehicle charging services.
The stated aim of the transaction is to offer customers “unique experiences” and to support partnered cities in a push towards more sustainable urban mobility.
It is also expected to aid the growth of the individual digital business models pursued by BMW and Daimler.
“The BMW Group is shaping future mobility – and striking out in new directions to do so,” said Harald Krueger, chairman of BMW AG’s board of management.
“This alliance will make it easier for our customers to discover the emission-free mobility of the future.”
“We remain competitors when it comes to the best premium vehicles. The planned merger of our mobility services will pool our resources and sends a strong signal to our new competitors.”
Dieter Zetsche, chairman of the board of management for Daimler AG, added, “As pioneers in automotive engineering, we will not leave the task of shaping future urban mobility to others.”
“There will be more people than ever before without a car who will still want to be extremely mobile.
“We want to combine our expertise and experience to develop a unique, sustainable ecosystem for urban mobility.”