Hyperdrive

Mercedes, BMW Go Back to Basics With Retreat From Urban Rentals

  • Soaring costs of electric, digital technology prompts shift
  • Move suggests automakers will refocus on traditional car sales
A Share Now car-sharing illustration.Source: MediaPortal Daimler AG
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Mercedes-Benz AG and BMW AG pioneered a service that allowed city-dwellers to rent a car by the minute, but after more than a decade of struggling to make money, they’re returning to their roots.

Germany’s luxury-car makers started out as competitors in offering free-floating car-sharing before merging their ventures into Share Now in 2019 to cut costs. On Tuesday, they announced the sale of the unit to Stellantis NV -- the maker of Chrysler, Fiat and Peugeot cars -- for an undisclosed sum.