The Lyft-GM Deal and Why You Probably Won’t Buy a Self-Driving Car

For years, the US auto industry has eyed Silicon Valley with a mix of envy and anxiety. As the tech sector has boomed, Detroit automakers have seen companies from Google to Tesla, Uber, and Apple force a rethinking of how personal transportation will work in the future. But now the two sides have come together in a deal that reimagines Silicon Valley and Detroit as allies rather than antagonists.

Lyft and General Motors revealed yesterday that they are teaming up to build a network of self-driving cars. The country’s biggest automaker will invest $500 million in Lyft to develop a fleet of autonomous vehicles that can be summoned on demand; while waiting for that day to arrive, GM will also set up national hubs where Lyft drivers can rent and operate cars without owning them.