Lyft acquires Halo Cabs

US ride-hailing service Lyft has reportedly acquired startup Halo Cars, which focuses on rooftop advertising. Lyft like other ride-hailing services is looking into newer avenues in search of profitability and the acquisition of Halo Cars is another step towards.

Although ride-hailing services have gained immense popularity over the past few years, most are still running into losses. This has seen most ride-hailing companies like Uber and Lyft pumping money into other side businesses with the aim of registering profits.

Lyft confirmed that it has purchased digital car-top advertiser Halo Cars although it didn't disclose the buyout amount. The acquisition is being seen by many analysts as a brilliant move by the ride-hailing company, which has been struggling for quite some time and is desperately searching for profitability in its business. Halo is likely to aid Lyft in its pursuit of profitability.

Halo Cars was founded in 2018 and have operations in quite a few big US cities such as New York and Chicago. However, it is a relatively new and small company, which makes more sense for Lyft to buy the company, as it is also focusing on acquiring the team that is likely to also join its media division. Digital car-top advertising is one of the easier avenues for both traditional taxis and ride-hailing companies to generate revenues.

AppWorks acquires BigDrop

Gurgaon based IT servicing and consulting company AppWorks has acquired BigDrop, a custom software development startup which offers solutions to other startups, SMEs and large companies. AppWorks will leverage the capabilities of BigDrop engineers to enhance its capabilities in services, products and digital marketing.

AppWorks, which started as a niche IT servicing and consulting company in 2008, has evolved into a holding company with strong capabilities in building IT solutions especially mobile apps, offering consulting services to MNCs on improving their software engineering practices, upskilling freshers to make them employable, and collaborating with startups to help them launch in the market. It has a development team of 50 engineers.

AppWorks is now becoming a collection of LOBSs – BigDrop, OrganIQ, UpSkill plus a host of startups. The bootstrapped startup had around 25 clients including SoftAge, India Accelerator, Just Rokket and VConnekt. Recent acquihires include ride-sharing startup Lyft acquiring Pune based startup Finite Paths, Ixigo acquiring mobile content sharing app Reach, Online Tyari acquisition photo and video sharing app Pix, and UpGrad acquiring corporate training startup Pyoopil Education Technologies.

Lyft acquires FinitePaths

US based ride hailing services Lyft has acquire Pune based startup FinitePaths for an undisclosed sum as it follow its larger rival Uber in tapping India’s large talent base to solve its global technology problems.

Uber opened its technology development centre in Bengaluru in February 2016, with the mandate to build solutions for the local market which could then be exported to other markets. The company ‘pay-by-cash’ model which was built out of India is now available in several Southeast Asian Markets. Apart from Uber, it’s Southeast Asian rival Grab recently announced its plans to setup a research centre in Bengaluru where it would employ 200 engineers that would largely work on payment technologies.

Similarly Indonesian bike taxi service Go-Jek has acquired three Indian startups – Pianta, C42 Technologies and Codelgnition to shore up talent for its development centre here. The top management of Go-Jek India centre comes from local service Ola which pioneered the ride-hailing market in the country.

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.