Daimler, the German automotive maker popularly known for producing the Mercedes-Benz vehicles, has announced its expansion in the ride-sharing industry to rival Uber and Lyft, according to a newswire from CNW.
News of Daimler's latest service comes after the companied acquired the two ride-sharing apps RideScout and Intelligent Apps.
The RideScout app offers users real-time information about the availability and schedule of varius modes of public transportation such as bus, taxi, bike and car-sharing. It mainly operates in selected cities in the U.S.
As for the Germany-based Intelligent Apps, its mytaxi app allows U.S. and European passengers to call on taxicabs.
Daimler's acquisition of RideScout and Intelligent Apps was made through its subsidiary Moovel, Wall Street Journal reported. Although details of the deal were not disclosed, the news site claimed that Daimler acquired both companies for less than $100 million.
"We are very pleased to welcome RideScout and mytaxi as new members of the Moovel family," the subsidiary's CEO said. "The acquisition of RideScout and Intelligent Apps pushes our global strategy a significant step forward."
"We are investing further in the development and growth of urban mobility in North America, Germany and other parts of the world," he added. "Our mutual objectives are the expansion of our leadership role on the international market and continue our pioneering efforts to radically simplify the future of mobility."
There are no official reports yet as to when Daimler will unveil its new ride-sharing service.
News of Daimler's expansion in the ride-sharing business comes days after future rival Uber has been banned to operate in Germany.
According to a court ruling filed by Taxi Deutschland in Frankfurt, the company has been ordered to ceases its UberPop services immediately or be forced to pay a fine.
A spokesperson for Taxi Deutschland stated that since the UberPop drivers are not the company's employees, their insurance agencies are not liable to cover certain fees if an accident occurs.
Interestingly, though, the presence of a high-profile corporation such as Daimler in the ride-sharing industry, might ease the regulatory restrictions that limit the services of companies such as Lyft and Uber in certain countries, as pointed out by PC World.