Magna will invest 200 million dlrs in ride-sharing company Lyft as part of an agreement to jointly develop and manufacture self-driving systems.

The move underscores the Canadian automotive supplier's ambition to be a leading player in the shift toward autonomous vehicles.

The two companies agreed on a multi-year cooperation that will put Magna technology in the self-driving vehicles that Lyft expects to deploy in its ride-sharing network in coming years.

Working with Lyft will give Magna the ability to test its technology on the road, which will help speed up development, the Canadian supplier said.

Lyft also expects the cooperation to advance its ambitions to launch autonomous vehicles.

"Together with Magna, we will accelerate the introduction of self-driving vehicles by sharing our technology with automotive OEMs worldwide," Lyft CEO Logan Green said.

As part of the agreement, Magna will exclusively provide Lyft’s fleet with self-driving kits. And it will work with Lyft to develop new data-based mobility opportunities.

"There is a new mobility landscape emerging and partnerships like this put us at the forefront of this change," Magna’s CTO, Swamy Kotagiri, said in a press release.

Under the new agreement:

  • Lyft will lead joint development of self-driving technology at its Palo Alto-based engineering center
  • Magna will lead manufacturing and join Lyft's development team onsite
  • Lyft and Magna will share jointly created IP and use Lyft data to improve systems.
-By Arjen Bongard