SoftBank Invests $300 Million in Car-Share Start-Up Getaround
*By Michael Teich*
Car-sharing app Getaround is sitting on a new pile of cash after Japanese conglomerate SoftBank led a $300 million funding round, an infusion that Getaround founder and CEO Sam Zaid said will allow his company to expand beyond the borders of the U.S.
The expertise of SoftBank ー which has made investments in Uber and Chinese ride-share company Didi Chuxing ー is crucial, Zaid said Wednesday in an interview on Cheddar.
"SoftBank is a very seasoned mobility investor," Zaid said. "They had been looking at this space for some time. When we approached them and started discussing, we really felt there was a meeting of the minds around, you know, what the future of transportation looks like and where Getaround fits in that."
Getaround's new funding, though, doesn't erase the harsh reality that the so-called "Airbnb of cars" faces: competition from the likes of ZipCar, Turo, and even General Motors subsidiary Maven.
Zaid said his San Francisco-based company has an edge because users share their own cars.
"We don't own the cars. It's really about driving efficiency and helping people offset the cost of ownership and moving away from everybody having to own a car," he said.
But various aspects of the "sharing economy" have caught the attention of city regulators. The New York City Council recently passed a bill to restrict short-term property rental services like Airbnb. Uber and Lyft also found themselves in the cross-hairs of local lawmakers when the city council put a cap on the number of ride-sharing vehicles in the Big Apple.
All that aside, Zaid is confident Getaround will avoid the pressure from regulators, largely because his company's interests align with local lawmakers.
"Cities are very pro car-sharing. We reduce car ownership, so we reduce congestion, which is a big problem for cities," he said.
Getaround's latest Series D funding brings the company's total capital raise to $400 million since its 2010 launch.
For full interview [click here] (https://cheddar.com/videos/getaround-ceo-says-softbank-deal-to-fuel-global-expansion).
Orangetheory Fitness is redefining the future of workouts with smarter tech, strength-based programming, and community-driven studios built for what’s next.
Spain's government has fined Airbnb 64 million euros or $75 million for advertising unlicensed tourist rentals. The consumer rights ministry announced the fine on Monday. The ministry stated that many listings lacked proper license numbers or included incorrect information. The move is part of Spain's ongoing efforts to regulate short-term rental companies amid a housing affordability crisis especially in popular urban areas. The ministry ordered Airbnb in May to remove around 65,000 listings for similar violations. The government's consumer rights minister emphasized the impact on families struggling with housing. Airbnb said it plans to challenge the fine in court.
Roomba maker iRobot has filed for Chapter 11 bankruptcy protection, but says that it doesn’t expect any disruptions to devices as the more than 30-year-old company is taken private under a restructuring process. iRobot said that it is being acquired by Picea through a court-supervised process. Picea is the company's primary contract manufacturer. The Bedford, Massachusetts-based anticipates completing the prepackaged chapter 11 process by February.
Serbia’s prosecutor for organized crime has charged a government minister and three others with abuse of position and falsifying of documents related to a luxury real estate project linked to U.S. President Donald Trump’s son-in-law Jared Kushner. The charges came on Monday. The investigation centers on a controversy over a a bombed-out military complex in central Belgrade that was a protected cultural heritage zone but that is facing redevelopment as a luxury compound by a company linked to Kushner. The $500 million proposal to build a high-rise hotel, offices and shops at the site has met fierce opposition from experts at home and abroad. Selakovic and others allegedly illegally lifted the protection status for the site by falsifying documentation.
