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Lyft achieved a significant milestone this week as Waymo robotaxis became available on its app in Nashville. In this collaboration, Lyft manages fleet services, including vehicle preparation and upkeep, alongside infrastructure and depot operations via its wholly owned subsidiary Flexdrive. 

In Nashville, users can summon a Waymo robotaxi directly through the Waymo app or try their luck on the Lyft app, which will connect riders with a Waymo based on availability. 

Lyft has engaged deeply with autonomous vehicle technology over the years, having collaborated with Aptiv (now Motional) in Las Vegas, May Mobility in Atlanta, Baidu in London, and Waymo in Phoenix. However, this week is particularly noteworthy as it marks Lyft’s inaugural significant venture into commercial robotaxi services utilizing driverless vehicles without a human driver.

Don’t forget, the company invested four years and millions developing its own AV technology through its Level 5 business division. Lyft offloaded its autonomous vehicle unit to Toyota’s Woven Planet Holdings subsidiary for $550 million in 2021 — one of numerous acquisitions amidst extensive consolidation in the emerging sector. 

Following that, Lyft shifted its focus away from AVs to concentrate on its primary ride-hailing business. Nevertheless, the concept was not completely sidelined. 

I had a conversation with Jeremy Bird, Lyft’s executive vice president of growth, regarding this milestone and wanted to share some insights. Bird oversees Lyft’s international, luxury, and autonomous vehicle strategies — and the convergence of these aspects can occur.  

When I inquired about when more robotaxis might appear on the Lyft app — and their locations — Bird was somewhat vague. He did mention, however, that the company is concentrating on its collaboration with Waymo in Nashville and Baidu in London (where commercial service has yet to launch) as they approach 2026. 

“Next year, I believe you’ll see greater diversification in that,” he remarked, adding that ideally this would involve broadening Lyft’s collaborations with both partners. “I expect next year to be a pivotal year for us.”

International markets appear to play a significant role in that AV expansion strategy. Bird referred to London as a “captivating market,” and throughout our exchange, he often emphasized Lyft’s identity as a global enterprise, a significant pivot from its previous focus solely on the U.S. market. 

So, what’s next for Lyft? In regards to international markets, Lyft appears to be prioritizing areas where it can initiate a hybrid network — that is, incorporating both AVs and human-operated vehicles right from the start. 

“We are a global company becoming more global, which matters to us,” he stated. “AVs will be central to our vision for the future. For any market we enter, we evaluate if there’s an AV component. Is it a market where AVs are already permitted or would that increase its attractiveness on our list of target locations?”

A little bird

A little bird noted some intriguing hires at Ford that certainly suggest the company is enhancing its defense technology capabilities. Ford recently appointed former Raytheon employee Tomaz Seignemartin as VP of continuous improvement and ex-General Dynamics staffer Shirish Srinivasan as chief of staff to Ford’s chief strategy officer. Additionally, Nathan Rigoni, who formerly led the generative AI team at Lockheed Martin, has joined as a senior software engineer. 

Of course, a few defense tech hires in a company of thousands does not indicate a trend. However, it does demonstrate the increasing value of a background in defense technology.

Have a tip for us? Email Kirsten Korosec at [email protected] or my Signal at kkorosec.07, or reach out to Sean O’Kane at [email protected].

Deals!

The Boring Company, the venture founded by Elon Musk to “rectify traffic” through constructing a network of underground tunnels, secured $3 billion in a funding round led by the United Arab Emirates. The Boring Company is currently valued at $23 billion, the company announced. The UAE’s support has its reasons; The Boring Company, which has previously collaborated with the UAE on the Dubai Loop, intends to excavate an additional 150 kilometers of tunnels in the Gulf nation.   

Andreessen Horowitz, Sequoia Capital, Human Capital, Vy Capital, and Valor Equity Partners also contributed to this round.

In the U.S., the Boring Company’s most prominent project is in Las Vegas, where it has established tunnels linking hotel casinos like Resorts World, Encore, and the Sahara, as well as the convention center and limited airport trips. Tesla vehicles, driven by humans, transport riders to and from these spots.

Other deals that caught my eye this week …

ARC Ride, the electric mobility startup based in Kenya, secured $33.3 million in a round led by Novastar Ventures and Norrsken22. Additional investors included IFC, British International Investment, Proparco, Japanese supplier Musashi Seimitsu, and African impact investor Talanton. 

Beep, a company recognized for operating autonomous shuttles at campuses and airports, obtained $20 million in a Series B round led by Mobileye, one of its current tech partners. Founded in 2019 and located in Orlando, Florida, the company has raised a total of $130 million thus far. 

Fryte Mobility, a software startup in Munich, Germany, concentrating on charging logistics for electric trucks, garnered €3.5 million ($4 million) in seed funding co-led by 4impact capital and Rethink Ventures. Existing investors Revent, F-LOG, accilium ventures, and unnamed angel investors also took part.

Porsche finalized the sale of its shares in Bugatti Rimac and Rimac Group to HOF Capital. The transaction yielded approximately 1 billion euros for Porsche, with around 250 million euros of those proceeds earmarked to further finance its pension obligations. 

Poseidon Aerospace raised $60 million ahead of the forthcoming first test flight of its uncrewed cargo aircraft, Egret, expected by year’s end. The Series A round was led by early-stage VC firm TQ Ventures and attracted new investments from Hanwha Asset Management, G Squared, and JAWS. Existing backers Starship Ventures, Draper Associates, and Drover Ventures also contributed.

Stoke Space may not fit the traditional definition of a transportation entity, but the reusable rocket company’s $1 billion funding round and some of its investors caught my attention. The round was spearheaded by Point72 Ventures (hedge fund billionaire Steve Cohen’s tech investment group) and Spark Capital, with additional backing from General Innovation, Glade Brook Capital, US Innovative Technology, Washington Harbour Partners, Woven Capital, and Y Combinator, among others.

Tern, an Austin, Texas-based startup innovating an alternative to GPS, secured an $11.26 million contract with the U.S. Army. The startup stated that U.S. Army vehicles will employ its “Google Maps for the battlefield” technology.

Uber allocated $10 million into the Indian fleet management startup Carrum Mobility during a Series B round. The recent investment values Carrum at ₹16 billion (approximately $168 million) post-money.

Notable reads and other tidbits

Autonomy, the California-based electric vehicle subscription service founded by TrueCar’s Scott Painter, is making a pivot. The company, which narrowly avoided going out of business, is incorporating internal combustion engine vehicles into its offerings. 

Beta Technologies, Joby Aviation, and Wisk, three firms working on electric aircraft, initiated test flight demonstrations in Texas as part of the Federal Aviation Administration’s Advanced Air Mobility and Electric Vertical Takeoff and Landing (eVTOL) Integration Pilot Program (eIPP). This weeklong initiative will enable these companies to evaluate real-world routes, including to Dallas-Fort Worth Airport.

Travis Kalanick’s startup Atoms is gearing up for a hiring surge as it aims to enter the robotaxi market, according to the Financial Times. 

TechCrunch reporter Jagmeet Singh delves into the Uber competitor inDrive and its efforts to expand beyond ride-hailing.

One more thing …

While U.S.-based autonomous vehicle developers are receiving much of the spotlight nowadays, significant developments are happening abroad as well. This week alone, we witnessed Chinese AV developer Pony.ai and Croatia-based Verne (another Mate Rimac entity) commence fully driverless test rides with passengers on public roads in Zagreb, while Spain awarded the first national AV permits to WeRide and partners Uber and Avomo.

Meanwhile, Chinese autonomous delivery firm Neolix initiated testing on a closed course in Japan, and Pony.ai removed the human safety operator from its AV test vehicles during demos in Doha, Qatar. Pony.ai, in partnership with Mowasalat, continues to have human drivers behind the wheel of robotaxis in its commercial operations.