German automakers have a tradition of competing aggressively each other. So it seems a bit unlikely that they would ever consider working together on future projects. But two of Germany’s major automotive stalwarts appear to be breaking with tradition to join forces together to offer customers a single source for sustainable mobility services.
In a recent press release issued byBMW Group, the Munich-based firm announced its collaboration with its direct competitor, Daimler AG, to build a single ecosystem for on-demand mobility services, mainly in urban areas and major metropolitan cities.
Not only do BMW Group and Daimler AG seek to become a leader in this niche by offering a single universe for mobility services, the two agreed the joint venture will also serve as a learning experience for expanding and improving the digital business models behind both corporations. Each company agreed both will hold a 50 percent stake in the joint venture, ensuring equal cooperation of both participants.
The initiative is also one of the many ways major automakers are working with cities, municipalities, and other governmental bodies in terms of city planning and traffic management.
By increasing these mobility services, both Daimler and BMW hope they can do their part to help reduce traffic congestion, fatalities, and curb pollution issues. Additionally, the two companies plan to build electric vehicle charging infrastructure even further.
More so, the combination of all these services into one suite is intended to create a more seamless, convenient, and easy-to-plan experience for travelers. Think of it as a manufacturer-sanctioned Expedia experience, but for all the major mobility services listed here.
The plan is to consolidate and integrate the following services in five key areas: multimodality, CarSharing, ride-hailing, parking, and charging.
BMW AG and Daimler didn’t specify when the new mobility services universe will be ready. The companies are currently still in the planning stages with local governments and financial institutions and hope to have everything evaluated and approved over the remainder of 2018.
