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(Pocket-lint) - Jaguar Land Rover, which is owned by Indian company Tata and is Britain's biggest car manufacturer, has invested $25 million (£20m) in American taxi-hailing service, Lyft. The money has been provided by JLR's InMotion Ventures subsidiary.

JLR has given Lyft the money to help it develop self-driving car technology, which is seen as the next big thing not only for cars in general, but for taxi cabs that can be hailed using an app on your phone. It should eventually help make rides cheaper as there won't be any driver to pay.

Jaguar Land Rover will also give Lyft a fleet of vehicles, a mixture of Jaguar and Land Rover models to assist with the development of the self-driving tech.

John Zimmer, Lyft president and co-founder said: "We’re excited to join forces with Jaguar Land Rover and InMotion,"

"Lyft envisions a future where shared mobility will transform cities and improve people’s lives."

Lyft is seen as the biggest rival to Uber, although their valuations are leagues apart: $7.5bn compared to Uber's $70bn. Lyft is only focusing its attention on expanding in the US for now, whereas Uber has expanded worldwide. However Uber has come under fire for some controversies in the past, which has helped Lyft secure funding and partnerships, as well as attracting new customers. 

Writing by Max Langridge.