Ford Motor company led Ford Smart Mobility firm, mainly, a subsidiary has invested a hefty amount of $24 million in self-driving sensor technology startup Zoomcar,a zip-car like business which operates from Bengaluru, India. The following funding was raised in a Series B round along with other participants such as Sequoia Capital, Nokia Growth Partners, and Empire Angels. Though, the sum amount of valuation is yet to be disclosed.
The 4-year-old startup company is entirely based on self-rental processes where the consumer can avail all type of cars through the respective website or app. The highly successfulfirm Zoomcar is a replica model of Zip-car where it claims to provide more than 2,000 cars in primary or tier I cities thus occupying 75% of the total car rental market in India. The app-based self-driven on rent has as many as 1.5 million users in the country itself. Ford being Zoomcar’s first OEM partner, the automotive giants more than half of its cars for rental services to the startup.
This not the first time that Ford Smart Mobility firm has invested in Zoomcar. Earlier at the end of 2014, it had funded $8 million moving further in May 2015 the company raised an amount of $11 million. As reported in Tech Crunch, the 4-year-old startup boasts of Venture Capital revenue up to$46 million till date last recorded this July.
According to John Larsen, Director at Ford Asia Pacific Mobility,As Ford expands its business to be both an auto and mobility company, we are pursuing a long-term vision to develop services and solutions that make it easier for consumers to move through cities using multiple modes of transportation. Our investment in Zoomcar will help strengthen the company’s role in shaping India’s developing mobility space and provide new transportation options to help make people’s lives better.
Founder of Zoomcar Greg Moran stated that the recently raised funds would help in expanding the new marketplace which will consist a fresh feature that will allow people/individuals to purchase a car and thus rent them out in their very own platform. One of the sole reason behind such different scheme accelerated by Zoomcar is Uber Inc. increasing popularity in the Indian market especially after the acquisition of China segment by Didi Chuxing.
One of the sole reason behind such different scheme accelerated by Zoomcar is Uber Inc. increasing popularity in the Indian market. After the acquisition by Didi Chuxing, a China-based car-hailing firm which recently purchased Uber’s China operations entirely, the attention has been completely focusing towards the country’s car rental platform in larger basis. Also, Uber is currently working on its mapping technology , hence towering Google’s world-class made navigating system.
Ford Motors invests in Bengaluru-based startup Zoomcar will bring tough competition to Bengaluru-based very own Ola Inc. whose financial gripping is sloping down after rising of such self-rental cars in the Indian market, at a great pace.