Page 34 - drive a2b june 2020 website

AMAZON TAKE

ON UBER & LYFT

with a Zoox Acquisition

by Eric J. Savitz

Here’s an idea that should have the last Zoox investment round, thinks Amazon should invest in
Uber Technologies and Lyft deeply which came at $3.2 billion in 2018. autonomous driving.
worried: What if Amazon.com Zoox has raised $955 million since
decided to enter the ride-sharing its founding in 2014, according to One, he says it could lead to a
market? Crunchbase. more-efficient delivery network. “In
our view, the value of cost-effective
Morgan Stanley analyst Brian The story notes that Zoox is shipping is likely to only rise given
Nowak floated that idea in working on hardware and the inflection we are seeing in
response to a Wall Street Journal software that could be used to e-commerce in 2020,” he writes.
report last night that said Amazon create electric-powered robot
is in “advanced talks” to acquire taxis that could be ordered up by Two, on a related note, he writes
Zoox, a company working on smartphone. that there are material potential
autonomous vehicles. long-term savings, as shipping
In a research note in response remains one of the company’s
The Wall Street Journal story said a to the Wall Street Journal story, largest expense challenges. He
deal would be at a valuation below Nowak lays out four reasons he notes that 2019 shipping costs
34 DRIVE A2B magazine · www.drivea2b.com.au · June 2020