Saturday, 10 September 2016

Ford to buy Chariot

Ford Motor Co would acquire San Francisco based shuttle service Chariot with plans to expand the service globally, as the carmaker expands beyond auto manufacturing and takes another step toward becoming a mobility company.
The Detroit automaker Chariot plans to expand internationally, moving into five more markets in the next 18 months. Ford would set up a ‘city solutions’ team to work with cities worldwide on transportation and is trying to diversify into other modes of transportation from vehicles sold to consumers as new competitors from Alphabet’s Google to Uber are shaking up the traditional automotive industry.

The bet on mobility in congested, urban zones helps protect traditional carmakers as the advent of autonomous vehicles and the growing popularity of ride services like Uber and Lyft threaten car ownership. The company would launch its “Ford GoBike” bike sharing program next year in partnership with the company Motivate, helping to add new stations and up to 7000 bikes throughout San Francisco Bay Area by the end of 2018.

Motivate currently operates the existing urban bike system called Bay Area Bike Share, launched in 2013. Chariot operates 100 Ford Transit shuttles in the San Francisco Bay Area along 28 routes. The on-demand shuttles will use data to map out the best routes to serve the public needs. Ford has already begun small, pilot shuttle programs in Kansas City, Missouri, and Dearborn, Michigan. Other carmakers experimenting with mobility services include General Motors, Fiat Chrysler, Volkswagen and BMW. 

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