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A
Amazon Health AI presents painful thoughts I I can't stop scratching my downtown.
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B
Mm. Yeah, but I'm not itching to go downtown and tell a receptionist I'm here to talk about my downtown. Some things you'd rather type than say out loud.
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A
There's no question too embarrassing for Amazon Health AI. Chat your symptoms and get virtual care 24. 7 Health care just got less painful.
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C
Bloomberg Audio Studios Podcasts Radio news Back
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A
to tech earnings Shares of Lift higher the company reported growing demand for premium rides. Also strength in European markets. Super interesting in kind of the global expansion story. Lyft CEO David Richer is with us. There is a very specific data point actually that I'd like to start on and that is that in markets specifically San Francisco, where you have Lyft rides and Waymo rides, you said San Francisco grew 20% year on year.
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B
That's right.
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A
Explain the causal or casual relationship within that data point.
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B
Yeah. So you know, our industry has gone through a big transformation and it is the sort of bringing on of these self driving vehicles. Waymo of course is the market leader in that any time you see a transformation like this, one or two things can happen. You can either see sort of a substitution or, or you can see a market expansion. And in this case we're seeing a market expansion. And it's not that surprising. When people take self driving cars, they tend to like them a lot. They're very reliable product, they're a nice private product. So you feel like you could have a private conversation but at the same time it doesn't seem to take away from people's interest in driven being driven by humans who can help with luggage or have a good conversation. So it really is accretive.
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A
This is a micro case study, it's one market San Francisco. But you know, the questions are, is Lyft gaining market share from Waymo in this city or is it that this is an issue of supply? So because somebody cannot get into a Waymo within a reasonable time frame, they go to the Lift app. Yeah, yeah, which, which is happening.
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B
I probably both honestly probably so interesting. Yeah. And I think this is such an interesting thing that's going to play out. My expectation over time is what will dominate will be the market expansion. And again the reason is sort of simple. You have a cool new product coming onto an existing platform and what we believe the hybrid network, which is, you know, human driven cars plus EVs really kind of creates the best possible outcome for everyone. But we'll, you know, we'll have to see how that Works.
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A
I think that you and I have discussed on several occasions the idea that the introduction of the robotaxi and maturity of the market expands the overall TAM for ride hailing. Just recap that, that argument.
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B
I think that's exactly it. So I mean, look, people take just in the United States about 160 billion rides a year in their private cars. Okay, Today we deliver a billion, maybe the other guys deliver 2 billion. So it's called that 3 billion out of 160 billion. And it's a good experience. You're sitting in the back seat, you're to text, you're able to have your own space. What holds it back? Well, for whatever reason, some people might want not want to be driven by another driver or someone else in the car. This takes that away. I'll tell you a very specific story. So I was just with an old friend of mine, I just ran into the airport. Her son had a tragic, tragic accident a couple of years ago. Absolutely devastating physical accident. He's in rehabilitation. For him, the idea of getting in a self driving car where the doors open wide, maybe there's not even a driver there, not there's anything wrong with that, but it just gives him more space to sort of be in his own zone is actually going to be
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A
technology and an engineering story. Design story.
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B
It's a design story. Exactly. And so, so anyway, I'm very optimistic about this. And then when I look at our capabilities around fleet management and you know, kind of matching supply and demand, I get really excited about the future.
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A
Lyft is, let's, let's go back to the core business and earnings. But Lyft is pushing outside the United States. You know, every time you've been on the show over the last year, there's been a development on that front. But what did we actually learn through your earnings about how you're growing ex usa?
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B
So here's what's really cool. So Lyft was primarily a domestic company up until about a year ago, maybe call it 18 months ago. Then we started to expand in Canada. That's gone very well now. We acquired a company called Freenow and a couple of other smaller companies overseas. Okay, what's happened since then? We're in the process of transforming ourselves to a truly global company. Some of that is internal stuff, back of the house, multi currency gdpr, all these sorts of things. But we're also beginning to introduce new functionality to customers. So I was just in Barcelona a couple of weeks ago. I was very lucky to be there. I got a chance to check out on our beta app, the ability to use the Lyft app, not a new app, but the Lyft app to, to hail local, supply local taxi cab in Barcelona. I did it four times, work flawlessly. So good, because I don't have to do a different app. I already know the user interface and so forth and so on. Free. Now, the company we acquired, they're also growing now too because of some of the innovation and the technology we've been able to add to their stack. So it's look, our service levels are really good and I love that about our product. And now we can take that to a more global audience and hopefully continue to grow as a result.
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A
How? You know, it could be Europe, Spain specifically, but how are those markets different to United States? How does the consumer behave differently?
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B
You know, there are subtle differences. I mean, a very significant, I guess difference, not subtle, is the role of the taxicab in a lot of Europe is very significant.
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A
You know, this culturally entrenched in many economies in Europe as an example, very much so.
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B
And unlike maybe in a New York where people almost begrudgingly take a cab, for example, but in a place like Spain and certainly going to have New
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A
Yorkers phoning into this program now.
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B
And I get that and I understand well, and New Yorkers have opinions about their taxi cabs.
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A
Right.
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B
But in Spain, it tends to be almost a career. You know, you get in the car and it's probably someone who's been doing it for many years, maybe his father did it as well. Certainly in London everyone knows the knowledge. I mean, it's all sort of incredible thing. So that's a really significant difference. And for us, it favors us because Free now is strong in taxis and the sort of double click there is because taxes seem to be quite regulated. The relationship that that company and our company has with governments tends to be quite strong. Which back to the question really matters a lot. AB is new technology. And for a lot of governments it feels maybe a little bit intimidating and we can help there. So it's a, it's a really nice sort of set of circumstances that tends to sort of favor our business in
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A
markets outside the United States. Uber is already there in some cases, bolt, etc. How are you going to make Lyft different from a technology perspective or just a product perspective?
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B
Yeah, so stay tuned on. This is actually a very, very live conversation we're having internally. I can use some of the examples of the US maybe and give you a little sense. So in the US we've really redoubled our innovation. And you know, some of these products, Women Plus Connect. I just heard that we've given over 175 million rides between women and women in the US over the last couple of years. Lift teens, lift silver. This is real innovation. We're hoping to bring some of that innovation to the European space for sure. And then there's also a lot of conversation around, you know, the, let's say the reputation of those guys in Europe isn't necessarily super. People don't necessarily love the company. I'll just say it that way. And we hope we bring some joy to the conversation as well.
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A
Off internally, where is your biggest focus on the technology side? What are the types of people you're trying to bring in and, and things you're building, rebuilding? Yeah, Code migration, Literally anything for sure.
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B
So many interesting things. So I'll give you a couple of examples. Some of it's basic, some of it's more far reaching. Here's the basic thing. We now pick people up on average. So 75% of the time, we will pick you up either the same or faster than our biggest competitor. Okay. Why is that kind of a big deal? Because our market share is smaller. So doing that reliably 24 hours a day, seven days a week, because people are busy, they want to get to where they are. That's an awesome accomplishment. I'm hugely proud of our Marketplace team for accomplishing that. And then bigger picture, I'm really excited about lifting one of our newest products that allows teens to get in and get constant messaging back to their parents to make sure the parents know that they're safe and sound. It's just a good. I look at this as almost a generational thing. A new car now costs like 800 bucks. 800 bucks a month, 50,000 at least, basically on a lease basis, plus maintenance, plus gas, all these sorts of things. Lyft is just a better answer for a lot of people. And so I'm sort of excited when I look two, three, four, five years out at some of the kind of, you know, teen innovation now, because I think that'll help change a whole generation.
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A
Lyft CEO David Richard, thank you very much for coming in. Thank you for being back on the show.
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C
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