Google's Venture Arm Invests In Lyft As Anti-Uber Alliance Grows


One of Google parent Alphabet's (GOOGL) venture arms is the lead investor in a $1 billion financing round for ride-hailing service Lyft as ties between the companies grow amid Google's legal battle with Uber Technologies.

XAutoplay: On | OffCapitalG, Alphabet's growth investment fund, led the financing round, Lyft said in a blog. CapitalG Partner David Lawee is joining the Lyft board.

Waymo, the autonomous-driving subsidiary of Alphabet, in May announced an alliance with Lyft, Uber's main rival. Lyft last week said that its drivers will use Google Maps for in-app navigation.

The deals come as Waymo accuses Uber of using autonomous technology that allegedly was stolen by an ex-Google engineer. A trial to decide the issue has been delayed until early December.

Lyft said the latest funding round gives it a valuation of $11 billion. Uber's valuation tops $68 billion, despite recent setbacks.

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Lyft already has an alliance with General Motors (GM), which has bought a stake in the startup. Waymo is working with Fiat Chrysler (FCAU), using its technology in modified Pacifica minivans.

Uber recently named former Expedia (EXPE) Chief Executive Dara Khosrowshahi as its CEO, replacing co-founder Travis Kalanick.


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