Zimmer Believes Lyft Has An Edge Over Competition
Lyft is planning to get funds of $2 billion by going public. Valuation of the firm is considered around $23 billion.
In the road show video of Lyft’s IPO, its co-founder, John Zimmer lists out many reasons for their win. He claims that that are founder lead. They have one of the largest transportation networks. He also said that they are focused solely on transportation and are not on food or trucks. Though he doesn’t pin point Uber, it is obviously clear from his statement that he is hinting at Uber. He further said that their brand is based on strong values. Lyft is thought to debut on March 29 on Nasdaq while Uber is expected to kick off its IPO in April.
Apart from transportation services, Uber has significant investments in food delivery namely UberEats and truck service, Uber Freights. Uber Eats has already become the fastest growing delivery service in US and they are planning to double their service as per the reports given by Business Insider. As per CNBC’s reports of October, Uber Eats had plans to expand from 50% to 70% of the US population by the end of the year 2018.
Travis Kalanick, former CEO and co-founder had resigned from his post on June 2017 following reports of Uber’s hostile working environment which lead investors in throwing doubts on the leadership of the company. Dara Khosrowshahi, who is the former Expedia CEO, has now taken position in the company.
Lyft however kept their focus only on consumer transportation. However they have made new initiatives like electric scooters and also their ride sharing programs. Zimmer has made references to the fact that Uber has also invested in the competitive autonomous space along with Lyft. However Uber has not commented on the road show video so far.