General Motors has invested $500 million into Lyft

When you’re competing against a $51 billion (soon to be $62.5 billion) behemoth like Uber, it’s important to have some big friends backing you, otherwise you won’t stand a chance. Lyft understands this, and that’s why it’s decided to become friends with none other than General Motors, which has not only invested $500 million into the ride-sharing startup, but will also begin developing an autonomous on-demand network of self-driving cars for the company, something that Uber has been interested in as well. General Motors will also be setting up short-term rental hubs across the United States, where people who don’t have cars will be able to rent one for a short time and make money by driving for Lyft. The $500 million investment makes up half of Lyft’s recent funding round, which brings the startup’s valuation to $4.5 billion.