UBER BUYS OTTO
While announcing the move in a posting on Uber's website on Thursday, chief executive officer and co-founder Travis Kalanick said his company would put about 100 self-driving sports utility vehicles (SUVs) onto the streets of Pittsburgh, Pennsylvania, as soon as this month, Xinhua news agency reported.
According to Bloomberg and if target goals are met, the acquisition could be worth 1 percent of Uberís valuation, representing $680 million. So it sounds like Uber handed out shares for this acquisition.
Levandowski cofounder of OTTO will lead the project and as Kalanick will pu it, Levandowski would report to him " across personal transportation, delivery and trucking," he also added "when it comes to this advanced technology stack, Otto plus Uber is a dream team" and that "we now have one of the strongest autonomous engineering groups in the world."
Ottoís technology will eventually be used to start a cargo service for long-haul trucking, Itís not clear if Uber plans to compete with package delivery firms like UPS and FedEx. Uber also confirmed its partnership with Volvo in a statement on their website. So production of Uber vechicle by volvo is official.
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