Hyperdrive
BMW, Daimler End North America Car-Sharing, Pare Europe Unit
- Share Now also withdrawing from Brussels, London and Florence
- Service is latest carmaker-backed mobility venture to stumble
Photographer: Krisztian Bocsi/Bloomberg
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Daimler AG and BMW AG are withdrawing their joint car-sharing service from North America and halting service in three European cities, citing rising costs and low ridership.
The pullout represents a major setback for the German companies’ ambitions to create new businesses to respond to changing consumer views about vehicle ownership. The luxury car giants announced a 1 billion-euro ($1.1 billion) joint investment in February into both car-sharing and ride-hailing, and such a quick retreat from one business line points to the difficulties in building up new mobility services.