Turo Acquires Assets from Kyte Amid Car Rental Shakeup

Peer-to-peer car-sharing platform Turo has acquired select assets from Kyte, the on-demand car rental startup known for delivering vehicles directly to customers. While financial terms were not disclosed, Kyte co-founder Ludwig Schoenack confirmed the deal on LinkedIn, describing it as a respectful handoff between two companies with shared visions for disrupting traditional car rental.

“While it’s not the most ambitious outcome we once dreamed of—it’s a partner we’ve long respected,” Schoenack wrote. He praised the Kyte team as “one of the most talent-dense” in tech, built during a journey to make car access as seamless as ordering an Uber.

Founded in 2009, San Francisco-based Turo operates in the U.S., U.K., Canada, Australia, and France, offering over 1,600 makes and models through a host-driven rental model. Kyte, by contrast, managed its own fleet and used “Kyte Surfers” to deliver cars booked via its app for short- and long-term rentals.

Despite raising over $90 million in venture funding and securing nearly $450 million in credit financing by 2024, Kyte struggled to reach profitability. In October 2024, the company pulled out of major U.S. markets—retaining only San Francisco and New York—and cut up to half of its workforce.

Turo said the acquisition will help both companies continue to innovate alternative mobility solutions, as demand grows for more flexible, tech-enabled travel options. Schoenack’s farewell highlights both the challenges and accomplishments of a startup that reimagined urban car rental logistics.

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Turo Acquires Assets from Kyte Amid Car Rental Shakeup

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