Daimler and BMW confident in the FreeNow car sharing platform

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Daimler and BMW have confidence in the revenue development of their bundled car sharing and mobility service FreeNow. The companies expect a doubling of the turnover this year and next year.

For this year FreeNow is counting on a so-called gross trade volume, a reflection of revenues, of 2.4 billion euros. FreeNow boss Marc Berg realizes that the objectives are ambitious, but states that the company, formerly known as MyTaxi, is already profitable in about half of the 130 cities in Europe and Latin America where it currently operates.

Mobility companies are under increasing pressure to show that they can make a profit. This is evident, among other things, from the poor stock performance of Uber Technologies, as well as that of the industry peer Lyft since their stock market debut.

Sharing the costs of scaling-up was a reason for Daimler and BMW to join forces earlier this year. The German car manufacturers promised to invest more than 1 billion euros in the joint venture, which also includes services such as charging e-cars and parking.