MOTIONAL AND UBER ANNOUNCE INDUSTRY-LEADING MULTIMARKET COMMERCIAL AGREEMENT FOR AUTONOMOUS RIDE-HAIL AND DELIVERY SERVICES

Rhea-AI Summary

On October 6, 2022, Motional and Uber Technologies Inc (NYSE: UBER) announced a 10-year multimarket agreement to establish a significant deployment of autonomous vehicles (AVs) in the ride-hail industry, enabling millions of Uber riders to access fully driverless rides. Motional will utilize its all-electric IONIQ 5 robotaxis on Uber's platforms, supporting Uber's ambition for zero emissions by 2030. The partnership aims to optimize AV utilization using data-driven insights, thereby enhancing efficiency and reducing wait times for customers.

Positive

• 10-year agreement expected to significantly scale the deployment of AVs on Uber's ride-hail network.
• Motional's IONIQ 5 robotaxis contribute to Uber's sustainability goals, aiding in the transition towards zero emissions by 2030.
• Partnership leverages Uber's platform to maximize operational efficiency and enhance customer experience.

Negative

• None.

• 10-year framework agreement is expected to create one of the largest deployments of autonomous vehicles (AVs) on a major ride-hail network, with the potential to reach millions of Uber riders
• Partnership is first in the industry to span AV ride-hail and delivery
• Uber will share data-driven insights to maximize utilization of Motional's AVs on its ride-hail and delivery networks
• Motional's new all-electric IONIQ 5 robotaxis will be available on UberX and Uber Comfort Electric in select markets, contributing to Uber's 2030 zero emissions goal

BOSTON, Oct. 6, 2022 /PRNewswire/ -- Motional, a global driverless technology leader, and Uber Technologies Inc (NYSE: UBER) today announced a commercial agreement to offer fully driverless rides using Motional's new all-electric IONIQ 5-based robotaxis.

The 10-year, multimarket agreement creates the opportunity for effective scaling and broad adoption of AVs by pairing Motional's advanced driverless technology with Uber's network of millions of customers. The companies will strategically deploy the service in cities across the U.S., with the first trips expected to start later this year. Motional and Uber have a shared vision for AVs to offer an affordable, convenient, and safe transportation option for everyday travel.

"This agreement will be instrumental to the wide scale adoption of robotaxis," said Karl Iagnemma, President and CEO of Motional. "Motional now has unparalleled access to millions of riders and a roadmap to scale significantly over the next ten years. We're proud to partner with Uber to bring both driverless ride-hail and deliveries to life in cities throughout the U.S."

As part of the commercial partnership, Uber will share targeted insights to efficiently allocate and position Motional's vehicles. AVs present a unique opportunity to leverage those insights to optimize operations, including reducing vehicle downtime and unnecessary miles traveled, which enables the companies to maximize time spent in revenue-generating service. Smarter operation also translates into a better experience for Uber customers, ultimately leading to reduced wait times and lower fares.

"We're excited to leverage the power of Uber's platform to bring Motional's advanced autonomous technology to a wide range of riders at the push of a button," said Noah Zych, Global Head of Autonomous Mobility and Delivery at Uber. "The scope of this partnership shows the important role that shared autonomous vehicles will play in the future of transportation, and in Uber's strategy to be the global platform to help you go anywhere and get anything."

Motional to be the First AV Company to Conduct Both Deliveries and Rides for Uber

Today's announcement represents an expansion of the Motional and Uber partnership, following a successful collaboration on delivery. Earlier this year, Motional began conducting autonomous food deliveries for Uber Eats customers in California. The pilot has been well received by customers and Motional and Uber have since expanded their delivery operations to service more restaurants.

Motional is now positioned to become the first AV company to offer both delivery and ride-hail services within a major network like Uber. Along with the multimarket driverless ride-hail service, the new agreement also enables further expansion of Motional's AVs for delivery with Uber Eats. Together, Motional and Uber are building a future where AVs are safely and thoughtfully integrated into communities.

Motional's All-Electric AVs Contribute to Uber's Sustainability Goals

Motional's IONIQ 5 robotaxis are fully electric, zero tailpipe-emissions vehicles, combining the transformative power of electrification and autonomy. The deployment of these vehicles on the Uber network will positively contribute to Uber's commitment to being a zero-emissions platform by 2030 in the U.S..

"Partnering with Motional to efficiently utilize their fleet of all-electric IONIQ 5 robotaxis will bring us one step closer to achieving our goal of becoming a zero-emissions platform," said Zych.

The companies will share details on the cities and services in the future. For more information on Motional, visit Motional.com/news, and for more information on autonomous mobility and delivery at Uber, visit Uber.com/autonomous.

About Motional

Motional is a driverless technology company making autonomous vehicles (AVs) a safe, reliable, and accessible reality. The company formed in 2020 as a joint venture between Hyundai Motor Group, one of the world's largest vehicle manufacturers offering smart mobility solutions, and Aptiv, a global technology company that develops safer, greener, and more connected solutions enabling a more sustainable future of mobility.

Motional is developing and commercializing SAE Level 4 autonomous vehicles for ride-hail and delivery applications. The company has unparalleled experience in commercial robotaxi operations, having conducted over 100,000 autonomous rides through its public service in Las Vegas.

Headquartered in Boston, Motional has operations in the U.S and Asia. For more information, visit www.Motional.com and follow the company on Twitter, LinkedIn, Facebook, Instagram, and YouTube.

About Uber

Uber's mission is to create opportunity through movement. We started in 2010 to solve a simple problem: how do you get access to a ride at the touch of a button? More than 25 billion trips later, we're building products to get people closer to where they want to be. By changing how people, food, and things move through cities, Uber is a platform that opens up the world to new possibilities.

View original content to download multimedia:https://www.prnewswire.com/news-releases/motional-and-uber-announce-industry-leading-multimarket-commercial-agreement-for-autonomous-ride-hail-and-delivery-services-301642553.html

SOURCE Motional

FAQ

What is the significance of the new agreement between Motional and Uber?

The agreement establishes a 10-year collaboration to deploy autonomous vehicles in Uber's ride-hail network, potentially reaching millions of riders.

How will Motional's IONIQ 5 robotaxis impact Uber's sustainability goals?

The deployment of Motional's fully electric IONIQ 5 robotaxis will support Uber's commitment to achieving zero emissions by 2030.

What is the expected outcome of the partnership between Motional and Uber?

The partnership aims to optimize the utilization of AVs, improve operational efficiency, and enhance customer experience within Uber's services.

When will the first driverless rides begin under the new agreement?

The first trips using Motional's autonomous vehicles are expected to start later this year.