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Woven Planet , a subsidiary of Toyota , to acquire Lyft's self - driving car division $ 550 Million Deal Unites Talent , Technology and Geographies to Propel the Industry Forward SAN FRANCISCO and TOKYO , Japan - Lyft , Inc. ( LYFT ) announced today that the company has signed an agreement with Woven Planet Holdings , Inc. , ( " Woven Planet " ) , a subsidiary of Toyota Motor Corporation , for the acquisition of Lyft's self - driving vehicle division , Level 5. The transaction also includes multi - year non - exclusive commercial agreements between Lyft and Woven Planet to accelerate the development and enhance the safety of automated driving technology . " Today's announcement launches Lyft into the next phase of an incredible journey to bring our mission to life , " Lyft Co - Founder and CEO Logan Green said . " Lyft has spent nine years building a transportation network that is uniquely capable of scaling AVs . This partnership between Woven Planet and Lyft represents a major step forward for autonomous vehicle technology . " " This acquisition assembles a dream team of world - class engineers and scientists to deliver safe mobility technology for the world , " James Kuffner , CEO of Woven Planet said . " The Woven Planet team , alongside the team of researchers at Toyota Research Institute , have already established a center of excellence for software development , automated driving , and advanced safety technology within the Toyota Group . I am absolutely thrilled to welcome Level 5's world- class engineers and experts into our company , which will greatly strengthen our efforts . " The Level 5 team will join Woven Planet , a subsidiary of Toyota dedicated to developing autonomous driving and other advanced mobility technologies . In addition to the acquisition of Level 5 , Woven Planet and Lyft have signed commercial agreements for the utilization of Lyft system and fleet data to accelerate the safety and commercialization of the automated - driving vehicles that Woven Planet will develop . Lyft's Open Platform team , which focuses on the deployment and scaling of third - party self - driving technology on the Lyft network , will become the new Lyft Autonomous team . " We are excited about the transformative impact AVS will have on our world as we drive toward a future that is electric , autonomous and shared , " Green said . " With Lyft Autonomous , we can combine the power of Lyft's hybrid network , marketplace engine and fleet management capabilities to help our AV partners scale deployment with the highest revenue per mile at the lowest cost per mile . We look forward to continuing to partner with the best autonomous vehicle companies to bring this technology to market . " Lyft will receive , in total , approximately $ 550 million in cash with this transaction , with $ 200 million paid upfront subject to certain closing adjustments and $ 350 million of payments over a five - year period . The transaction is also expected to remove $ 100 million of annualized non - GAAP operating expenses on a net basis - primarily from reduced R & D spend - which will accelerate Lyft's path to Adjusted EBITDA profitability . " Not only will this transaction allow Lyft to focus on advancing our leading Autonomous platform and transportation network , this partnership will help pull in our profitability timeline , " Lyft Co - Founder and President John Zimmer said . " Assuming the transaction closes within the expected timeframe and the COVID recovery continues , we are confident that we can achieve Adjusted EBITDA profitability in the third quarter of this year . " The transaction is expected to close in the third quarter of 2021 , subject to the receipt of required regulatory approvals and customary and other closing conditions . Supplemental Materials Lyft Autonomous Fact Sheet Lyft Autonomous Investor Presentation