Volvo invests in children’s ride sharing service

Volvo Cars has acquired a stake in Zum, a fast-growing on-demand ride sharing service for children.

California-based Zum was founded in 2015 and provides a trusted network of vetted drivers that allows parents and schools to schedule transport for school commutes, after-school events and other activities.

It also provides the option of adding child care before or after a ride as needed.

Drivers are vetted through a strict three-step process. They need to be able to prove they have a clean driving record and previous child care experience. Each driver is also subjected to a driving test and multiple background checks and their vehicle needs to pass a 22-point vehicle inspection.

Zum applies advanced routing algorithms and machine learning to create the most efficient routes possible and to match drivers with rides. A mobile app and online dashboard allow both parents and schools to follow and track their kids’ journeys in real-time.

It is a credible competitor to school bus operators and increases choice for parents and school districts.

Zum has thousands of certified drivers in the San Francisco Bay Area, Los Angeles and other urban areas in California.

Volvo Cars’ investment comes as a part of a funding round by Zum, with which it aims to expand its business into other US states and continue developing its technology.

Possible areas of collaboration include adding Zum to the digital consumer services offered as part of the Care by Volvo premium subscription service in those markets where it is available, as well as the deployment of Volvos as part of Zum’s fleet.

The Volvo Cars Tech Fund, which made the investment in Zum, was launched last year and aims to invest in high-potential technology start-ups around the globe.

It focuses its investments on strategic technology trends transforming the auto industry, such as artificial intelligence, electrification, autonomous driving and digital mobility services.

The fund’s first investment was in Luminar Technologies, a leading start-up in the development of advanced sensor technology for use in autonomous vehicles, with which Volvo Cars collaborates on the development of Lidar sensing technology.

Since then, it has also invested in electric car charging firm Freewire, and Forciot – a Finnish firm that develops connected, printable and stretchable electronics.