Lyft Sells Its Zimride Ride-Matching Service To Enterprise

The sale means Lyft will focus solely on its local ride-sharing service, whose competitors include SideCar and UberX.

Lyft, the peer-to-peer ride-sharing service, has sold its Zimride service to Enterprise Holdings for an undisclosed sum.

Zimride's ride-matching service connects drivers with passengers who are heading to the same destination. More than 350,000 people use Zimride on 130 college and corporate campuses. It has operated since 2007, back when Lyft was also known as Zimride. It joins Enterprise's other holdings, Enterprise Rent-A-Car, National Car Rental, and Alamo Rent A Car. Enterprise competitor Avis Budget Group purchased Zipcar for $500 million in January.

The sale will allow Lyft to focus on its year-old local ride-sharing service, also named Lyft, which lets people e-hail rides from nonprofessional drivers who outfit their cars with furry, pink mustaches and fist-bump passengers upon pickup. Lyft's competition in the local ride-sharing market includes SideCar and Uber's UberX service. All three companies recently received separate cease and desist letters from the Los Angeles Department of Transportation, which all three told Fast Company would have no bearing on their operations in the city.

[Image: Flickr user abrackin]

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  • laughtiger

    Ironically enough, Zimride was the actual ridesharing service, while Lyft is more of an unlicensed taxi service. This demonstrates two things: 1. Lyft is abandoning real ridesharing, and was perhaps never really committed to the idea; and 2) the rental car giants are interested in these sorts of companies. It wouldn't be surprising to see them eventually acquire Lyft or one of its competitors. So much for "disruption," we will be looking at further concentration of car-use industries.