German auto giants, BMW Group and Daimler AG are joining forces to offer customers a single source for sustainable urban mobility services. The two companies signed an agreement to merge their mobility services business units as a single entity. Both the companies plan to combine and strategically expand their existing on-demand mobility offering in the areas of CarSharing, Ride-Hailing, Parking, Charging and Multimodality.
Each company will hold a 50-percent stake in a joint-venture model comprising both companies’ mobility services. The two companies will remain competitors in their respective core businesses. This new joint-venture will not just improve mobility services, but also shape the mobility of the future to be able to offer their customers unique experiences and support their partners, such as cities and communes, in achieving sustainable urban mobility.
BMW Group and Mercedes-Benz parent company Daimler AG intent to offer an intelligent, connected mobility services, available at the tap of a finger. Together, both he companies will also be able to ramp up the scales required to sustain this business model. The merger will further promote electromobility, with the increasing use of CarSharing vehicles.
Harald Krüger, Chairman of the Board of Management of BMW AG said “Combining our mobility services as planned will create a unique digital ecosystem. This alliance will make it easier for our customers to discover the emission-free mobility of the future. We remain competitors when it comes to the best premium vehicles. The planned merger of our mobility services will pool our resources and sends a strong signal to our new competitors.”
“As pioneers in automotive engineering, we will not leave the task of shaping future urban mobility to others. There will be more people than ever before without a car who will still want to be extremely mobile. We want to combine our expertise and experience to develop a unique, sustainable ecosystem for urban mobility,” said Dieter Zetsche, Chairman of the Board of Management of Daimler AG and head of Mercedes-Benz Cars.
“At Daimler, we are vigorously and systematically pursuing our transformation from the automobile manufacturer to provider of mobility services with our CASE strategy. CASE stands for connectivity, automated driving, sharing & services and electric mobility.”