Mobility technology firm Magna is set to collaborate with ride-share company Lyft to jointly fund, develop and manufacture self-driving systems.

Additionally, Magna plans to invest $200m in Lyft equity.

The collaboration, which is subject to regulatory approval, is expected to facilitate the development of self-driving systems at scale.

Magna chief technology officer Swamy Kotagiri said: “There is a new mobility landscape emerging and partnerships like this put us at the forefront of this change.

“Lyft’s leadership in ride sharing and Magna’s automotive expertise makes this strategic partnership ideal to effect a positive change as a new transportation ecosystem unfolds.”

After development, the new autonomous self-driving vehicles will be deployed on Lyft’s own ride-sharing network in the following years. Magna also intends to utilise the technology across multiple segments in the entire global mobility ecosystem.

“Together with Magna, we will accelerate the introduction of self-driving vehicles by sharing our technology with automotive OEMs worldwide.”

Lyft CEO Logan Green said: “Together with Magna, we will accelerate the introduction of self-driving vehicles by sharing our technology with automotive OEMs worldwide.

“This is an entirely new approach that will democratise access to this transformative technology.”

Under the collaboration, Lyft will head the co-development of the self-driving system at its Palo Alto-based self-driving engineering centre, while Magna will be in charge of manufacturing and join Lyft’s development team onsite.

Both companies also agreed to share jointly created Internet Protocol and utilise Lyft data to improve systems.

Lyft is also expected to leverage Magna’s automotive experience for its self-driving systems.

Expected to be market-ready over the next few years, the technology can be deployed across the industry through Magna.