Lyft Selling Self-Driving Business to Toyota for $550 Million

Like its peer and rival Uber Technology (NYSE: UBER), rideshare giant Lyft (NASDAQ: LYFT) is stepping away from proprietary attempts to develop self-driving cars. The company announced Monday that it has signed a deal to sell its Level 5 autonomous driving unit to Toyota (NYSE: TM) subsidiary Woven Planet Holdings.

The price is roughly $550 million, all of which will be paid in cash. Lyft will receive $200 million up front, and the remainder in payments spaced out over a five-year period.

This should have a familiar ring to observers of the rideshare sector. In December, Uber shed its self-driving unit, the grandly titled Advanced Technologies Group, to privately held auto tech company Aurora.

Source Fool.com