General Motors Co. announced Tuesday it would launch a peer-to-peer car sharing service, making it the first major automaker to enter the car sharing business. The new service, known as Peer Cars, will be available in Chicago, Detroit and Ann Arbor, Michigan. The Detroit-based automaker will operate the business under its Maven brand, a car-sharing service that already works in several cities in the U.S. with over 150,000 customers. It currently rents Chevrolet, Buick, GMC or Cadillac car or truck models. Those who lease or own a 2015 or newer GM vehicle can add their car to the Maven app, the company said. General Motors expects consumers to trade up to more expensive models since they can pay off the bill by earning money when they aren’t driving the vehicle. "Your car is one of the most expensive things you own. Sitting idle, it is a wasted asset," said Julia Steyn, vice president, General Motors Urban Mobility and Maven. "It’s time to put your car to work. Maven’s peer-to-peer offering is a smart way for owners to offset their vehicle investment. "If you want to have access to a car, you have access to a car. So I believe this is just expanding our opportunity to provide the consumer with what they want." Pre-approved users for the service can rent vehicles using the app. Those who lease or own their vehicle can keep 60 percent of the revenue, the company added. Forty percent will go to GM and it will also provide insurance for the rented vehicles. Under Maven, those who decide to enroll their 2018 Chevrolet Cruze, for example, stand to earn $533 under the monthly rental plan. With the same car, the owner can make $6,401 renting their car under the yearly rental plan, according to Maven's website. General Motors is the first automaker to join the peer-to-peer car sharing business, a space that startups Getaround and Turo currently dominate as the two largest firms in the U.S. Electric car company Tesla announced in July 2016 that it too would be launching its ride-sharing platform with autonomous vehicles.
General Motors (GM) is to launch a peer-to-peer car sharing service in Chicago, Detroit and Ann Arbor, Michigan through its Maven brand. The Maven app will be available to customers who own or lease a vehicle from 2015 or later, allowing drivers to offset the cost of the vehicle and potentially upgrade to more expensive models. Vehicles in the scheme will be rented to pre-approved users through the app, with customers who own or lease the vehicles keeping 60% of revenue, while GM keeps 40%. Peer-to-peer car sharing in the US is led by start-ups Getaround and Turo.