Google
A logo is pictured at Google's European Engineering Center in Zurich April16, 2015. Reuters/Arnd Wiegmann

Waze, the navigation app owned by Google is to enter into carpooling business with RideWith. The internet giant will launch the first pilot project based on Waze and RideWith apps in Israel with the aim of going global.

According to the official site of Waze the app is now live in the Google Plat Store for Android devices. It is a limited trial service for users who commute in the Gush Dan region of Israel. RideWith, which available only during standard busy hours during the day, helps connect drivers and potential riders to identify friends, colleagues and neighbours who have similar commute routes and request for lift. Those requests are then sent to drivers using Waze that take a similar commute.

The riders can enter their commute information and wait. As the RideWith identifies a route-friendly driver it sends an alert to the user. If a driver accepts the request, they pick up the rider (whose GPS location is provided via the app) to reach the destination. The riders can select drivers through their profiles or prior riders’ review and there is also a chat option. The number of trips drivers are able to make is limited to two a day.

Pricing will be according to a calculation of fuel usage of the vehicle. Waze site mentions that the app creates a price quote, based on distance and wear-and-tear values, when someone asks for a ride. Drivers can accept or decline the ride and the rate as well. The driver will only receive compensation for the gas usage and time devoted to drop the rider to the destination. The service is built in such a way that drivers will not be able to transform it into a business. The app handles payment with an apparent "nominal Waze commission" added to the price.

RideWith will be facing major competition from Uber, which recently announced a similar carpooling service called UberPool. Apart from that Lyft, Sidecar and Ride are worth mentioning in the carpool business as well. As reported by CNET, approximately 100 million people in the US commute to work in each year and a third of them have a daily commute of at least 30 minutes. Thus apart from revenue opportunities for these carpooling companies, getting those commuters to share a ride also improves traffic conditions, lessens road congestion and limits environmental impacts.

As conveyed to Mashable, “We are conducting a small, private beta test in Tel Aviv for a carpool concept”, said a Google spokesperson. “Waze regularly experiments with new ideas in our backyard, and we have nothing specific to announce at this time.”

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