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    Saturday, January 28, 2023

    Hertz teams with Uber, Carvana in major shift to electric cars

    Signage for Hertz Global Holdings at a rental location in Berkeley, Calif., on May 5, 2020. MUST CREDIT: Bloomberg photo by David Paul Morris.

    Hertz Global Holdings, fresh off a blockbuster order for 100,000 Teslas, reached an exclusive agreement to supply Uber drivers with electric vehicles and signed up Carvana Co. to dispose of rental cars it no longer wants. Taken together, the deals represent a trifecta of aggressive and innovative initiatives with the potential to upend the car-rental business and hasten the transition to greener fuel sources. The car order on Monday, the largest-ever for EVs at $4.2 billion, was such as watershed moment that it propelled Tesla Inc.'s valuation past $1 trillion.

    Just as surprising: The company behind it all is barely out of bankruptcy. Only 17 months ago, with the Covid-19 pandemic raging, Estero, Florida-based Hertz was so troubled and its future so uncertain that it was forced to seek protection from creditors. Now, under the control of hedge fund and private-equity owners, Hertz is leaning on mobile technology and digitization to transform a stodgy industry known for uninspiring cars and poor customer experiences.

    — Bloomberg

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