Volkswagen Will Launch an Electric Car-Sharing Service in Germany Next Year

"We are convinced that the car-sharing market still has potential," Volkswagen board member Jürgen Stackmann said in a statement. He added that "our vehicle on-demand fleets will consist entirely of electric cars, and will therefore provide zero-emission, sustainable mobility. That is an intelligent way to relieve the strain on urban areas."

Stackmann did not say which vehicles would be used in the car-sharing service, but Volkswagen is planning to launch multiple all-electric models based on the recent family of I.D. concept cars over the next few years. Europe will likely get the I.D. hatchback first, with the I.D. Crozz crossover, Microbus-inspired I.D. Buzz, and I.D. Vizzion sedan following after that. The automaker plans to launch 50 all-electric models across multiple brands by 2025.

VW plans to offer other services beyond car sharing but hasn't committed to anything specific yet. A company press release mentioned a scooter-sharing service using production versions of the I.D. Cityskater and I.D. Streetmate concepts, as well as a parking app, as two possibilities. Volkswagen is also developing another sub-brand, Moia, that will focus on ride-hailing and shuttle services. The company is also rumored to be in talks with Chinese ride-hailing firm Didi Chuxing about coordinating mobility services.

The Volkswagen announcement comes shortly after Volvo's announcement of its own M mobility brand, which will initially focus on car sharing. General Motors' Maven already operates car-sharing services in the U.S. and Canada, and BMW and Daimler are teaming up on mobility services. Automakers seem to realize that services like car sharing and ride-hailing may erode new-car sales, and don't want to be left behind by that trend.