Tesla's biggest competitor just announced a collab with Uber
Tesla's biggest competitor, BYD, just launched a big partnership with Uber.
Uber drivers in various markets can get discounts on 100,000 new electric vehicles from the Chinese carmaker, and the companies plan to collaborate on autonomous driving, the duo said in a release.
The EVs will first be made available in Europe and Latin America and later expand to the Middle East, Canada, Australia, and New Zealand. The companies did not specify the timing of this rollout.
"The terms of the deal appear to incentivize Uber's drivers to choose BYD vehicles given lower pricing," Wedbush analyst Matt Bryson wrote in a note.
Discounts on charging, maintenance, and insurance, which the companies said they may also offer, will be seen as "carrots" for drivers, Bryson wrote.
The venture is not the ride-hailing giant's first in this space.
A renewed attempt at a discount leasing partnership may signal that Uber knows it needs to make cars more affordable for drivers, who have already been protesting declining wages.
The partnership also ups BYD's international visibility, as Uber passengers ride in cars they might not have otherwise tried out.
The announcement may raise eyebrows at American EV maker Tesla, which is already facing competition from BYD - China's biggest EV manufacturer — and smaller Chinese players like Nio and Zeekr, all of which hit sales records last quarter.
BYD produced more than 3 million vehicles, which includes EVs and hybrids, in 2023, while Tesla made 1.84 million EVs last year.
Chinese companies' footprints in Europe have grown since they introduced cheaper models and captured EV demand from Russia, where Western competitors exited.
BYD also found a partner to help bring its autonomous driving services to the masses.
The two companies said they will collaborate on BYD services to deploy on Uber. BYD is currently investing USD14 billion in smart cars, which will have a "Navigate on Autopilot" feature, that will allow drivers to take their hands off the wheel and feet off the pedals in certain scenarios.
Any future BYD-Uber semi- or fully-autonomous vehicle could directly compete with Tesla's robotaxis. The long-anticipated product has been delayed, and some analysts are questioning if they'll be cheap enough to appeal to consumers.
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AnaiAnai : Not in US. US will not allow Uber to use BYD EV is for sure one.![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
bullrider_21 OP AnaiAnai : Yes, it's for the countries stated.