Japanese Automaker Toyota will invest $500 million in Uber in a deal that values the ride-hail giant at $72 billion, according to The Wall Street Journal. Under the agreement, Toyota Sienna minivans will be equipped with Uber’s self-driving technology and then deployed on the ride-hailing company’s network, the companies said.
The investment values Uber at $72 billion, which matches the valuation Uber received in a deal with Alphabet self-driving unit Waymo earlier this year.
Uber will combine its autonomous driving system with Toyota’s Guardian system, an automated system that offers some safety features but does not allow a vehicle to drive completely autonomously, the source said. The technology will be built into Toyota vehicles, which will be deployed on Uber’s ride-hailing network, the source said.
Toyota was not immediately available for comment. Uber declined to comment.
The strategy is a shift from Uber co-founder and former CEO Travis Kalanick, who had insisted the company develop a proprietary self-driving system and called autonomous cars “existential” to Uber.