Lyft Inc (NASDAQ:LYFT) shares popped after it announced a partnership with Waymo to introduce fully autonomous ride-hailing services in Nashville starting in 2026.
Under the agreement, Lyft’s Flexdrive division will oversee management of Waymo’s autonomous vehicle fleet, including maintenance, charging infrastructure, and depot operations.
The rollout will start with passengers able to request Waymo’s self-driving vehicles through the Waymo app, with plans to integrate the service into Lyft’s platform later in the year.
The companies said this integration will allow dynamic ride-matching across both networks.
"Waymo has proven that its autonomous technology works at scale. When combined with Lyft's customer-obsession and world-class fleet management capabilities, it's two great tastes that go great together,” Lyft CEO David Risher said in a statement.
Waymo co-CEO Tekedra Mawakana added that Lyft’s fleet management capabilities make it a strong partner for the Nashville expansion.
“We can’t wait to introduce Music City’s residents and visitors to the convenient, consistent, safe, and magical Waymo experience,” Mawakana said.
This marks Lyft’s first large-scale commercial partnership with Waymo and is designed to improve fleet utilization while expanding access to autonomous vehicles.
Lyft said the effort aligns with its vision for a hybrid transportation model where self-driving cars and human drivers operate together.
As part of the initiative, Lyft will build a dedicated facility in Nashville to support the fleet with charging and service operations.
Shares of Lyft added 13% on the news.