General Motors to launch Airbnb-type auto service, report says

General Motors to launch Airbnb-type auto service, report says

General Motors is reportedly planning to add a peer-to-peer Airbnb-style auto rental service through its Maven carsharing platform.

The car-sharing program will start as a pilot program and if it works GM aims to grow it into a full-fledged business say the sources.

Currently, GM's Maven allows short-term rentals for drivers through it app, much like Zipcar. Another advantage that GM has is the wide owner base it can use to lure customers into the program. However, even though GM is new to the venture, it boasts a market value of approximately $53 billion, which supersedes both startups. As Bloomberg notes, the number of cars listed on Turo have tripled to 200,000 in the past two years while the service now boasts around five million users. The company raised $92 million in a September funding round led by Germany's Daimler AG and South Korea's SK Holdings Co., which valued Turo at about $700 million.

Getaround raised US$45 million in April past year, with Toyota Motor Corp among the companies buying in.

The program would apparently be only open to GM owners, and the company would take a piece of the revenue.

"Carmakers are preparing for disruption, so they are experimenting with different models", Marian said by telephone.

Elon Musk tweeted about it back in 2016 hinting at Tesla owners being able to rent out their rides by tapping a button on a Tesla phone app. The American Car Rental Association, a lobbying group for companies including Enterprise Holdings Inc. and Hertz Global Holdings Inc., is pushing lawmakers to eliminate what it sees as unfair loopholes from taxes that its members have to pay and that car-sharing companies have avoided. Cities like San Francisco are also pursuing legal action to regulate such companies.

Because of the success of Maven, it makes sense that GM is looking to expand the program. The Maven platform would be utilised for the new service, the report said.

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