Toyota has poured $600 million of investment in Chinese Ride-hailing services Didi, the Chinese company has announced today. The deal between the two companies Didi and GAC Toyota Motors in a joint venture, with GAC Toyota to provide vehicle-related services to the drives on Didi’s ride-hailing platform.
GAC Toyota is already a joint venture between Toyota and Chinese GAC group, one of China’s largest automobile companies. The news was first reported by Nikkei Asian Review in which it was mentioned that Toyota was initially considering a $550 million investment in Didi for setting up a new mobility services company in China.
It was also reported last year that Toyota and Didi announced to partner each other in order to develop new mobility and vehicle sharing platform which includes autonomous driving software and full electric modules that can be used to build autonomous vehicles for different sizes.
Toyota has been investing in ride-hailing services in the past including Uber and JapanTaxi, Didi’s collaboration with Toyota is like many other partnerships Toyota has created with other companies including Volkswagen, Renault, Nissan, Mitsubishi, and Chinese Motor Company FAW. Toyota and Didi plan to expand their services beyond just Ride-hailing, the new technology, electric vehicles, autonomous vehicles, AI-based technology are focused on creating new trends reshaping the way people travel. Didi has also announced that it will allow third-parties and service providers to share its ride-hailing platform as part of the agreement with FAW, GAC, and Dongfeng.