Infrastructure Bill, Canoo & LA EVs

The Station: A Weekly Transportation Newsletter

The Station is a newsletter published every week, focusing on the diverse world of transportation. To subscribe and receive it directly in your inbox each weekend, simply click The Station.

Welcome to The Station

Greetings, readers! The Station serves as your primary resource for information regarding all methods of transporting individuals and goods, both current and emerging.

A Week at the LA Auto Show

This past week, I was located in Los Angeles, engaging with startups and investors. I also had the opportunity to visit the LA Auto Show.

Due to a demanding schedule, I have temporarily passed editorial control to Aria Alamalhodaei. I look forward to resuming my duties next week.

Stay in Touch

Feel free to reach out with your feedback, critiques, perspectives, or suggestions. You can email me at kirsten.korosec@techcrunch.com.

Alternatively, you can connect with me directly on Twitter – @kirstenkorosec.

Micromobility Updates

The week began with a humorous nod to e-bikes on Saturday Night Live’s “Weekend Update.” Comedian Michael Che highlighted the rapid growth in e-bike popularity, wryly noting that car doors currently pose the biggest threat to riders.

This observation underscores a key challenge: despite increasing adoption of alternative transport, cars still dominate urban spaces. A shift towards more sustainable options requires cities to prioritize pedestrians, cyclists, and micromobility solutions.

Climate Goals and Urban Mobility

Recent reports emphasize the urgency of this shift. To meet climate objectives, urban dwellers must make 40% of their journeys via walking, cycling, micromobility, or public transit within the next decade.

Several cities are proactively addressing this need. Oakland, Bakersfield, and Pittsburgh are launching “universal basic mobility” programs. These initiatives subsidize various transport modes, aiming to stimulate economic activity and improve accessibility.

Industry Partnerships and Initiatives

At CoMotion LA, Spin announced a collaboration with Bakersfield community nonprofits, such as the Dream Center. This partnership will provide 100 eligible individuals with free access to public transit, Spin e-scooters, and e-bikes for a year. This marks Spin’s third UBM pilot program.

Furthermore, Spin unveiled a partnership with Blue Systems. This collaboration will deliver a data dashboard to select U.S. cities, focused on enhancing pedestrian safety and reducing improper scooter parking and sidewalk riding.

Blockchain and AI Integration

Fetch.ai, an AI lab specializing in decentralized machine learning, has joined forces with Datarella, a blockchain company. Together, they are launching the MOBIX Micromobility Marketplace.

This platform intends to incentivize micromobility usage through a rewards system. Users can earn miles by recording their trips, which can then be exchanged for tokens usable for future journeys or traded on cryptocurrency exchanges. The app is available on both the Apple App Store and Google Play Store.

Safety and Accessibility Enhancements

Lime has partnered with SafeUP, a community safety network providing support for women. This collaboration offers free Lime scooter and bike rides to SafeUP guardians in several cities, including NYC, LA, and San Francisco.

Bird recently held its first public earnings call as a publicly traded company. While revenues slightly missed expectations, the company increased its full-year 2021 guidance, anticipating growth in commuting, tourism, and supply chain improvements.

Investment and Expansion

Australian startup Zoomo secured $60 million in Series B funding. This investment will fuel the expansion of its e-bike subscription service, targeting gig workers and enterprise fleets, with the goal of revolutionizing last-mile delivery.

Zembo, a French startup operating in Uganda, raised $3.4 million to scale its e-motorcycle lease-to-own program across Africa. Backed by Mobility 54, a Toyota Tsusho Corp subsidiary, Zembo will leverage Toyota’s automotive network for expansion.

Platform Integrations and Acquisitions

Superpedestrian has become the latest micromobility operator integrated into the Moovit app. Moovit users can now locate and access LINK scooters within the app when available.

Lyft is extending its partnership with Mastercard in the Bay Area to include bikeshare. Mastercard will support Bay Wheels in building 35 additional bikeshare stations next year.

In San Francisco, Scoot/Bird are collaborating with Scootaround to pilot an accessible mobility program. This initiative, initially tested in the Bronx, allows riders with disabilities to find, reserve, and pay for accessible vehicle options.

Consolidation and Future Innovations

Tier acquired Nextbike, a German bike-sharing platform. This acquisition signals Tier’s commitment to a multimodal approach and potentially foreshadows further consolidation within the micromobility sector.

Electric scooter manufacturer Niu has teased an expansion of its urban mobility portfolio at EICMA. Speculation suggests this may involve a new vehicle type, potentially the three-wheeled canopied scooter concept unveiled at CES 2020. A weather-protected micromobility solution is highly anticipated.

– Rebecca Bellan

Weekly Automotive Industry Highlights

The previous week saw significant attention focused on Rivian’s initial public offering. This week, our focus shifts to Lucid Group, which has now concluded its first fiscal quarter as a publicly listed entity. Notably, the company’s market capitalization has surpassed that of both Ford and General Motors, following a stock increase that resulted in a $17 billion valuation boost.

Looking ahead for this emerging electric vehicle manufacturer, the priority is vehicle deliveries. These will commence with the Lucid Air Dream Edition, subsequently followed by the Grand Touring, Touring, and Air Pure models, as communicated to investors during the earnings conference. CEO Peter Rawlinson expressed confidence in the company’s ability to produce 20,000 vehicles in the coming year.

Currently, reported reservations stand at 17,000, an increase from approximately 13,000 recorded at the close of the third quarter.

A notable development this week involves the termination of a planned vehicle collaboration between Ford and Rivian, as announced by Ford CEO Jim Farley on Friday. Despite this, Ford remains a substantial shareholder in Rivian.

Notable Investment and Partnership Activity…

Eatron secured $11 million in funding to further develop its technology platform, designed to enable automotive manufacturers and Tier 1 suppliers to separate auto software from its underlying hardware. This Series A funding round was spearheaded by MMC Ventures, based in the U.K.

Helm.ai obtained $26 million in Series B funding to accelerate the development of its Advanced Driver-Assistance Systems (ADAS) and Level 4 autonomous driving software. Investors included JM Partners, Base Capital Funding, and Freeman Group, alongside contributions from Nicolas Berggruen, ACVC Partners, OneWay Ventures, Binnacle Partners, Nadia Asoyan, Vlad Tenev, Mark Leslie, Jeff Rothschild, and Neil King.

Mangrove Lithium, a company specializing in the production of battery-grade lithium hydroxide and lithium carbonate, successfully closed a $10 million Series A funding round, led by Breakthrough Energy Ventures.

Merchants Fleet has placed an order with BrightDrop, General Motors’ electric delivery division, for 5,400 EV410 vans. This expands the company’s total order to 18,000 vehicles, building upon a prior commitment to acquire 12,600 of BrightDrop’s EV600 vans.

Mitra Chem raised $20 million in Series A funding to strengthen the North American battery supply chain, currently dominated by China, through the production of an iron-based cathode material for applications outside of China.

Nexar, recognized for its line of smart dash cams, secured $53 million in new financing to expand its “digital twin” service. This service leverages crowdsourced dash cam footage for automotive manufacturers and urban planning initiatives.

PreAct Technologies, a developer of sensing technology for automotive applications, raised $13 million in Series A funding, with State Farm Ventures leading the investment.

Sono Group, the parent company of Sono Motors, launched its initial public offering this week, with shares reaching a peak of $38.74 before market closure. Sono Motors is currently developing a solar electric vehicle anticipated to be available to consumers in the first half of 2023.

Swvl is set to acquire a controlling stake in Viapool, a transit platform operating in Buenos Aires, Argentina, and Santiago, Chile. This acquisition signifies the company’s continued expansion within the Latin American market, with completion expected in the first quarter of the following year.

Zoomo secured $60 million in Series B financing to broaden its last-mile electric delivery services, encompassing both fleet solutions and subscription models for couriers and delivery personnel.

Policy Updates

Welcome to this week’s edition of Policy Corner.

The recently passed $1.2 trillion bipartisan infrastructure bill introduces numerous new provisions and funding allocations concerning vehicles. While substantial investments in EV charging infrastructure and electric school buses have garnered significant attention, these represent only a portion of the legislation’s key components.

Driver safety is also a central focus of the new bill. Beyond the inclusion of provisions for anti-drunk driving technology in new vehicles, the legislation facilitates the introduction of adaptive headlights to the U.S. market. The Secretary of Transportation is mandated to revise headlight regulations within 24 months to permit the use of adaptive driving beam headlamp systems.

This change signifies that vehicle headlights will soon possess more than just standard high and low beam settings; they will dynamically adjust brightness and beam patterns based on surrounding conditions.

The bill also empowers the transportation secretary to establish timelines for mandating technologies such as automated emergency braking, lane-keeping assistance, and forward-collision warnings. The expectation is not whether these features will be required, but rather when.

Furthermore, new vehicles may be required to include rear seat occupancy warning systems designed to prevent accidental leaving of children or pets in the backseat.

Here are some additional developments that were noted this week:

The New York City Council is currently evaluating a bill that would direct the Taxi and Limousine Commission to develop regulations governing the licensing and operation of autonomous vehicles as taxis. This proactive approach suggests the city is preparing for the integration of this technology.

The Self-Driving Coalition is advocating for clear differentiation between autonomous driving systems and advanced driver assistance systems (ADAS) among policymakers, journalists, and the public. The organization correctly points out that confusing these two technologies could lead to misuse of ADAS and a lack of understanding regarding its capabilities and limitations.

The California Energy Commission has approved a $1.4 billion plan to accelerate the adoption of electric vehicles. Approximately 80% of this funding is allocated to EV charging and hydrogen refueling infrastructure.

A significant portion of these funds will be dedicated to medium- and heavy-duty infrastructure, supporting chargers for buses, school buses, and trucks.

– Aria Alamalhodaei

Recent Developments in Automotive Technology

Here's a roundup of noteworthy news and updates from the automotive sector, covering autonomous vehicles and electric vehicle advancements.

Autonomous Vehicle Progress

Apple is reportedly progressing in the development of its electric vehicle, with autonomous capabilities being a key focus. Current projections aim for a 2025 release, though previous challenges have been encountered. The company has not yet issued a public statement regarding these reports.

Baidu asserts its leadership in the robotaxi service arena, having completed 115,000 rides through its Apollo Go platform. The company intends to expand its service to 65 cities by 2025 and reach 100 cities by 2030, as stated by CEO Robin Li during a recent earnings discussion.

Baraja has unveiled a new lidar system, the Spectrum HD, designed for “Level 4 autonomy at scale.” This system is anticipated to be available for testing next year and will be priced under $1,000.

Honda is actively testing an autonomous work vehicle designed for off-road applications. Trials are currently underway at a solar panel construction site, where the vehicle demonstrates the ability to tow trailers weighing up to 1,653 pounds and transport construction materials up to 880 pounds across a 1,000-acre area.

Pony.ai underwent restructuring of its R&D divisions for passenger cars and autonomous trucking in September. Following this, several key executives departed, with at least one believing that distinct product teams are necessary for urban and highway driving scenarios. Sources confirm a suspension of autonomous trucking operations in the U.S., though testing continues in China.

Qualcomm is collaborating with BMW Group to engineer and develop the next generation of BMW’s Advanced Driver-Assistance Systems (ADAS) and autonomous systems.

REE Automotive has introduced a fully autonomous concept vehicle built upon a new, ultra-modular EV platform. This concept is targeted towards companies involved in last-mile autonomous delivery, fleet operations, e-retail, and technology development.

Electric Vehicle Updates

The Los Angeles Auto Show recently concluded, showcasing several significant vehicle reveals from major automakers.

Biliti Electric announced its intention to introduce its electric tuk tuks to the U.S. market. These three-wheeled, open-cabin vehicles are already utilized in Asia and Europe and could offer a solution for last- or middle-mile delivery services within the U.S.

Fisker debuted its all-electric Ocean SUV, featuring a rotating 17.1-inch central screen – a notable contribution from manufacturing partner Foxconn. The screen can switch between portrait and landscape modes, adapting to driver needs for navigation or entertainment.

Hyundai presented the Hyundai SEVEN Concept vehicle, emphasizing a “hygienic” interior design. Built on Hyundai’s Electric Global Modular Platform, also used for the Ioniq 5, the concept features lounge-like interiors with swiveling seats and advanced air purification systems.

Porsche unveiled the Taycan GTS sedan and the Taycan GTS Sport Turismo, expanding the Taycan model range. The company has invested over $1 billion in the development of the Taycan vehicle portfolio.

Subaru revealed its first all-electric crossover, the 2023 Subaru Solterra, signaling a move to cater to the American market and establish a presence in the EV sector.

The Toyota bZ4X, a close counterpart to the Subaru Solterra, was also showcased at the LA Auto Show. This vehicle represents Toyota’s first offering under its bZ brand and is expected to arrive in the U.S. in mid-2022 with an estimated range of up to 250 miles.

Further developments in the EV space include…

Canoo announced plans to establish its headquarters and an advanced manufacturing facility in Bentonville, Arkansas. Speculation suggests a potential partnership with Walmart. The company also reported nearing production readiness for vehicles on its gamma platform, secured Panasonic as a battery supplier, and plans to establish tech hubs in Tulsa and Fayetteville.

Lucid Group, a luxury EV startup, completed its first quarter as a publicly traded company following its merger with Churchill Capital IV Corp. The company reported receiving 17,000 reservations for its EVs since the end of the third quarter.

Other Automotive News

Caribou is partnering with Uber to integrate its auto refinancing services into the UberPro app, providing access to ridesharing drivers.

DoorDash has launched DoorDash Labs, a new division focused on robotics and automation. Ashu Rege, formerly of Zoox, has been appointed as VP of Autonomy to lead this initiative.

Joanna Wu, a veteran executive from LinkedIn, is joining Uber as VP of product design. She brings extensive experience in user experience and product design, including leading the redesign of LinkedIn’s website and app.

Jupiter Research projects that in-vehicle transaction volumes will surpass $4.7 billion by 2026, representing a 5,300% increase over the next five years, according to a recent report.

Zipline initiated its commercial service in the U.S. this week, utilizing its autonomous aircraft to deliver goods on behalf of Walmart in northwest Arkansas.

– Rebecca Bellan