Uber Partners with Chinese Company for Autonomous Driving
Companies to collaborate on future BYD autonomous-capable vehicles for the Uber platform
August 1, 2024
Uber is teaming with BYD in a partnership for the Chinese automaker to provide 100,000 electric vehicles to the ride-hailing giant.
But the multi-year, strategic agreement goes far beyond, with the pair also committed to work together to bring self-driving vehicles to the Uber network.
“The two companies will collaborate on future BYD autonomous-capable vehicles to be deployed on the Uber platform,” stated the announcement. “As the largest on-demand mobility and delivery platform in the world, Uber is well-positioned to bring autonomous vehicle technology to a global audience at scale.”
The tie-up raises the prospect of riders across the globe being ferried around in driverless Chinese cabs, although not in the U.S.
The partnership is set to get under way initially in Europe and Latin America, with other areas including Canada, the Middle East, Australia and New Zealand set to follow.
The U.S. was conspicuous by its absence on the list of potential markets, a result of the increasing trade tensions between Washington and China that have prompted the Biden Administration to introduce tariffs on Chinese electric vehicles (EVs).
BYD’s rise to prominence has been dramatic, with the Shenzhen-based company overtaking Tesla in the final quarter of 2023 to become the world’s biggest supplier of EVs. It has made huge inroads into Europe and Central America in recent years, thanks to a pricing strategy that encouraged sales.
It hit the headlines in 2023 when a spokesman said at the Shanghai Auto Show: “We think self-driving tech that’s fully separated from humans is very, very far away, and basically impossible.”
But it is believed to have up to 5,000 people working in its self-driving division, and chairman Wang Chuanfu told shareholders last year that he was prepared to invest $13.9 billion into autonomous driving.
BYD has also extended its relationship with chip provider Nvidia, as it seeks to develop self-driving products.
Uber, meanwhile, is no stranger to autonomous technology. It already offers rides in self-driving Waymo vehicles and food deliveries in Phoenix, Arizona, and has partnered with Motional in Las Vegas.
While autonomous vehicles are in the pipeline, the most immediate outcome of the new deal will be Uber drivers getting access to “best-in-class pricing and financing” for BYD cars in an effort to accelerate take up of EVs.
It is not clear which models will be available, although the Seal sedan, Seal U SUV and Atto SUV were all featured in a press release that accompanied the news.
Dara Khosrowshahi, CEO of Uber, said: “As the largest global agreement of its kind, we’re thrilled about the benefits this partnership will deliver for drivers, riders and cities.”
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