Hertz and Uber team up to offer 50,000 Tesla rentals
Hertz to supply 50,000 Teslas to Uber drivers in a program that begins next week in California and Washington DC and rolls out in the United States by the end of the year
- Hertz and Uber have announced plans to launch a 50,000 Tesla fleet as rental options to their carpool driver network by 2023
- The initiative is “the largest expansion of electric vehicles (EVs) on a mobility platform in North America and one of the largest in the world”
- The deal is part of Hertz’s initiative to invest in an electric vehicle rental fleet and recover from filing for bankruptcy during the pandemic
- Uber previously announced its Green Future program, which encourages drivers to switch to electric vehicles as part of their zero-emissions goal.
- The news led to a rally in stock prices and saw Tesla’s market value, which more than doubled last year, surpass $ 1,000 billion for the first time.
Hertz and Uber have teamed up to launch a fleet of 50,000 Teslas as rental options for the ridesharing app driver network by 2023.
The program is part of Uber’s goal to be fully electric in the United States by 2030, and the tech company will drive an additional $ 1 for each electric ride to enable them to switch.
The new initiative, announced on Wednesday, is aimed at Uber drivers who do not own their own car or prefer not to use a personal vehicle for work.
It will allow them to rent a Tesla via Hertz from November 1 in Los Angeles, San Francisco, San Diego and Washington DC
The program is expected to expand to cities across the country later this year, the rideshare company said in a blog post.
Uber noted that it was “the largest expansion of electric vehicles (EVs) on a mobility platform in North America and one of the largest in the world.”
Hertz and Uber have announced plans to launch a 50,000 Tesla fleet as rental options for its carpool driver network by 2023 starting November 1 in select cities.
The new initiative, announced on Wednesday, will allow Uber drivers to rent a Tesla via Hertz starting November 1 in Los Angeles, San Francisco, San Diego and Washington DC
The new program combines “environmental benefits by reaching rental drivers, who are often looking to offer trips for longer hours and more miles than the average driver,” according to Uber who said many of their carpool drivers do not have access to their vehicles. .
All-electric Tesla rentals, consisting primarily of the electric vehicle company’s Model 3 sedan, will be available exclusively to Uber drivers starting at $ 334 per week, including insurance and maintenance. But Uber plans to drop the cost to $ 299 per week or less as the program takes off.
Drivers must have at least a 4.7 star rating and have completed at least 150 trips to be able to hire a Tesla.
The announcement comes just days after Hertz on Monday announced plans to order 100,000 Tesla vehicles by the end of 2022 and new electric vehicle charging infrastructure around the world.
Hertz is hoping the focus on electric vehicles will push the 103-year-old company to differentiate itself from its competitors as it struggles to recover from filing for bankruptcy during the pandemic.
Hertz interim chief executive Mark Fields told the the Wall Street newspaper: ‘One of the biggest advantages of restructuring like ours is that it gives us a new perspective.’
âIt allows us to approach instead of saying ‘why? “-” why not ? “
As the travel industry has rebounded and rental cars are in high demand, Hertz is rushing to replenish its fleet and capitalize on the travel boom.
Hertz Acting Managing Director Mark Fields explained the new initiative as part of the company’s efforts to recover from bankruptcy during the pandemic and invest in an electric vehicle rental fleet while rebuilding their fleet
Hertz also announced plans to buy Tesla’s biggest ever order, which led to a rise in share prices and saw the company’s market value surpass $ 1 trillion for the first time. time.
âOur approach going forward is going to be different,â Fields said. âWe want to ask the following question, ‘How can we help you achieve your goals? ”
Automakers are also seeing partnerships with ride-sharing companies as a convenient way to expose more consumers to fuel-less vehicles. Hertz also supplies vehicles to Lyft.
Wednesday’s deal represents Uber’s most important step yet to expand the use of electric vehicles on its platform. The company is committed to operating only electric vehicles on its US, Canadian and European platform by 2030, and globally by 2040.
Their Green Future program encourages drivers to switch to electric vehicles as part of their zero emissions goal.
But only a few VTC drivers can afford the high prices of electric vehicles. In 2019, only 0.15% of all Uber miles in the United States and Canada were traveled in electric vehicles, according to company data.
Motorists produce more pollution per passenger mile traveled because they spend more than a third of their time driving empty. Research shows that carpooling drivers produce 3 to 4 times the emissions savings of average car owners when they switch to electric vehicles.
The announcement of Tesla’s biggest-ever order spiked stock prices and saw the company’s market value, which more than doubled last year, topping $ 1,000 billion for the first time.