Regional News

With union there is strength: BMW and Daimler merge their mobility services

By Silvia Castro Betancourt 0 Comments NEWS, Regional News
The merger will unite the sectors of shared vehicles, taxi applications, electric charging station and parking, as well as companies such as MyTaxi, Parknow and Reachnow.
With union there is strength; this is not a lesson for BMW and Daimler carmakers to learn. The companies announced on Wednesday March 28 that they will create a joint venture to merge their mobility services. The goal is to create an ecological system that works "intelligently, interconnected and with the touch of a finger," they said in a statement.
The merger aims to unite the sectors of shared vehicles, taxi applications, electric charging station and parking. The subsidiaries Car2go, in the case of Daimler, and DriveNow as a BMW company have more than four million customers and, with this strategy, these services would become part of the same conglomerate.
Other companies such as MyTaxi, Parknow and Reachnow will join together thanks to this agreement in which BMW and Daimler will each have a 50% stake in the company, with which they intend to promote electric mobility and the facilities for loading and parking thanks to the fusion of mobility services.
Harald Krüger, president of BMW, and Dieter Zetsche, president of Daimler, highlighted their intention to create a unique mobility ecosystem and the strategy to shape mobility. The purpose of this partnership is to become one of the "leading providers of innovative mobility services".
The merger of manufacturers and their parent companies highlights the importance of partnerships to develop new forms of mobility and thus face competition. In a context in which Uber intends to dominate the market, mergers such as this can shake the platform's business model and encourage competition.
Other companies have opted for the same tactic for the development of autonomous cars, such as Nvidia and Baidu. For its part, Waymo and Autonation allied themselves for the reappearance and maintenance of vehicles without a driver.
On the other hand, Toyota introduced at the beginning of this year its concept e-Pallette, an autonomous and modular car that intends to function as a service of transport and delivery of products at home. For this, it partnered with companies such as Uber, Amazon and Mazda to integrate the technology and its services into a single vehicle.
The agreement between BMW Daimler still has to be approved by the competition authorities and the car groups will remain rivals at the core of their business. However, this measure highlights the importance of partnerships to meet the challenges of the industry.

The above article was written and published in Spanish and has been translated into English. Click here to read the original article.


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