BMW to invest in start-up mobile app firms

BMW sets aside $100m for location-based smartphone app development

BMW has announced it will invest $100m (£70.7m) in start-ups developing location-based smartphone apps.

The company will set up a "tech incubator" in New York City to develop these apps and establish an expert advisory board to guide decisions on future investments.

The scheme is part of BMW's recently-launched i Ventures business, a venture capital company based in the US, which provides early- and mid-stage investments for development in mobility services.

"As urban populations increase, the goal of BMW i Ventures is to develop technology to further the freedom of mobility," said newly appointed president Edward Robinson, a 32-year BMW veteran.

The company has access to the resources of the BMW Group and said it aims for strategic, long-term partnerships.

BMW has already launched its first location-based mobile app called MyCity.

The app integrates 50 local mobility apps in one interface to act as a one-stop, location-wise platform to offer a range of services. The app is now available for 40 cities worldwide.

"With the assets BMW brings - not just financial, but brand recognition, market access, technological and engineering as well - BMW i Ventures is poised to become a major enabler of software-based mobile solutions for years to come," said Josh Rubin, the first member to be appointed as part of the advisory board.

"There are so many companies with early-stage products that with the right amount of guidance and fostering could become the next indispensable tool for urban mobility."

The company is inviting smartphone app developers with promising services to submit their pitch to BMW i Ventures.