GM launched its car-sharing service in Ann Arbor, Michigan Thursday. The move comes as fewer young people show an interest in owning cars. Fred Katayama reports.
Another major automaker driving its way into the car-sharing business. GM launched Maven Thursday in Ann Arbor Michigan. It'll offer students and faculty at the University of Michigan vehicles they can rent by the hour for as little as $6. It plans to expand Maven to Chicago and New York. The service is app-based. Users will use their smartphones to search and reserve a vehicle; start, heat and cool the car, and play their favorite music and map their favorite destinations by connecting to Apple CarPlay and Android Auto. GM's move comes as fewer young people show an interest in owning cars. It already has a $500 million stake in the ride-sharing service, Lyft. Daimler's Mercedes-Benz and Ford are also in the car-and-ride sharing game, too. UBS analyst Colin Langan thinks Maven is a way for GM to hedge its bets saying, "It's a nice way to use technology, fleet, leverage capabilities and make sure you're able to participate in future changes in mobility." GM says it's testing future Maven services in China as well. GM shares, down 13 percent this year, getting a lift in early trading.