Alphabet is said to be considering investing a strategic $1billion into ride-hailing company Lyft, according to Bloomberg.
Investment talks between the ride-hailing firm and Google’s parent are said to still be in the early stages, with nothing being confirmed and could still fall through.
It is unknown whether the billion dollar investment into Lyft will come from Google or Alphabet’s private-equity arm CapitalG, but it is speculated that the investment is being driven by Alphabet CEO Larry Page.
Alphabet is no stranger to the ride-hailing market following early investments with Lyft’s biggest rival, Uber.
Should the plans go through, such a large investment could enable Lyft to become an independent, a future priority of the company according to co-founder John Zimmer.
Furthermore, the substantial funding could make a big impact on the US ride-hailing market, in which Lyft has already gained market share this year as a result of Uber’s series of scandals.
Google’s parent company isn’t the only firm showing interest in Uber’s main competitor, with SoftBank CEO Masayoshi Son revealed he has interest in making an investment into either Lyft or Uber last month.
Son said: “We are interested in discussing with Uber, we are also interested in discussing with Lyft, and we have not decided which way yet.
“Whether we decided to partner with Uber or Lyft, I don’t know what will be the end result.”
As well as benefitting the company itself, the investment could give popular ride-hailing company Uber a run for its money, after already coming into trouble this year replacing its CEO and being brandished for inequality and sexual harassment.
Lyft has already risen more than $2bn worth of funding working with investment backers including the partnership with Waymo to test self-driving cars as well as General Motors, Rakuten, and Floodgate.