Uber taps Hertz to clean, charge, and fix its Lucid Motors robotaxis

Uber is gearing up for the launch of its luxury robotaxi service in collaboration with Lucid Motors and Nuro, and has now joined forces with Hertz. This partnership, revealed on Thursday, will see Hertz take on the daily vehicle management tasks, which include charging, maintenance, repairs, cleaning, and staffing at depots. Set to debut by the end of 2026 in the San Francisco Bay Area, the service will utilize Lucid's Gravity SUVs alongside Nuro's self-driving technology. Hertz plans to manage these operations through a newly formed affiliate named Oro Mobility, which aims to deliver integrated fleet management solutions across various mobility sectors. As the automotive industry shifts from private vehicle ownership to a model dominated by commercial fleets—both driven and autonomous—Oro Mobility intends to bridge essential gaps in orchestration and operational support, according to Hertz's press release. This initiative marks another step for Hertz, which has been adapting to new mobility trends since its bankruptcy restructuring in 2020. Hertz made headlines in 2021 by announcing a significant purchase of 100,000 electric vehicles (EVs) from Tesla, a move that played a part in boosting Tesla's market valuation to an unprecedented $1 trillion. In 2022, the company also planned to acquire up to 175,000 EVs from General Motors and an additional 65,000 from Polestar. However, many of these deals fell short of completion, leading Hertz to liquidate some of its previously acquired EVs in early 2024. This decision was influenced by higher maintenance costs stemming from usage by Uber drivers and Tesla's price reductions aimed at increasing its sales. Establishing a fleet management and operations division aligns closely with Hertz's expertise as a major rental car provider. Competitors such as Avis are already engaged in similar partnerships with companies like Waymo. Given the interest from robotaxi firms in outsourcing fleet management, Hertz could potentially develop a robust business with Oro Mobility. In a joint statement, Uber and Hertz indicated their intent to look for expansion opportunities in 2027. Uber has been actively collaborating with a range of autonomous vehicle companies globally and plans to place orders for at least 35,000 robotaxi-ready vehicles from Lucid Motors over the next few years. The initial order consists of 10,000 Gravity SUVs, with plans for an additional 25,000 electric vehicles based on Lucid's upcoming mid-sized platform. Furthermore, Uber has secured over 11% ownership in Lucid Motors through its investments related to these vehicle orders.