GM And Toyota are Getting Into Car Sharing In A Big Way

General Motors and Toyota are rolling into the car-sharing space

By Bruce Brown October 29, 2016

GM and Toyota are upping their games with car-sharing ventures, hedging their bets against a future when individual car ownership may be less common. General Motors is expanding Maven, a car-sharing service the company is already running in seven other U.S. cities, to Los Angeles, according to Fast Company. Meanwhile, Toyota’s venture fund Mirai Creation Investment Limited Partnership has invested in San Francisco-based private owner car-sharing startup Getaround, reports Reuters. Carmakers are branching out into car-sharing to cover all bases for future mobility services.

GM’s Maven leases new Chevrolet, Cadillac, and GMC vehicles for $6 to $8 per hour, which includes insurance, fuel, and unlimited 4G data. GM views Maven as a way to give potential customers test drives in the newest models, which it typically loads with options. Current Maven selections include Chevrolet Cruze, Malibu, Tahoe, and Volt, GMC Acadia and Yukon, and several Cadillac models. GM states that more than 11,000 Maven members have driven more than 23 million miles with over 12,000 reservations since the service started earlier this year. Lyft drivers can also rent Maven vehicles by the hour. In addition to L.A., Maven is also available in Boston, Chicago, Detroit, New York, Ann Arbor, Michigan, and Washington, D.C.

Getaround, which claims more than 200,000 members, currently operates in the California cities of San Francisco, Berkeley, and Oakland, as well as Portland, Oregon; Chicago, and Washington, D.C. Getaround is a gig economy venture in which private owners share their vehicles. Getaround suggests that car owners can earn up to $10,000 per year by renting their cars. Drivers can rent cars by the hour or day, with insurance included. Owners are protected with a $1 million insurance policy per rental, according to Getaround. According to Reuters, Toyota has invested $10 million in Getaround. Toyota also works with Uber with leases for Uber drivers.

Going forward, more carmakers are likely to join GM, Toyota, and other companies such as Daimler, and BMW with car-sharing ventures. Tesla recently introduced the concept of the Tesla Network, a self-driving car-sharing service that will launch once fully autonomous cars are legal. Different companies are experimenting with a range of car-sharing strategies as they prepare for the future.

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