Ford Sells Off Vehicle Subscription Service To Fair App

Ford (F) has sold its vehicle subscription service, Canvas, to vehicle subscription app, Fair. Canvas was a wholly-owned subsidiary of Ford Motor Credit Company and was bought by Fair in a private deal.

Through the purchase of Canvas, Fair will continue to expand its customer adoption throughout the U.S. Customers of Canvas will now have the option to join Fair at the end of their vehicle subscription, which the automaker said the two companies will provide more details directly to these subscribers.

“Canvas built an impressive business and we learned a lot about subscription services, fleet management and the technology that underlies both,” Sam Smith, executive vice president of Strategy and Future Products at Ford Credit said. “We are proud of the work that was done in support of Canvas and we wish the entire team the best of luck.”

Fair’s app, which went live in August 2017, uses a vehicle subscription model that allows users to shop for pre-owned cars through the app with an all-in “affordable” monthly payment. With the monthly payment, users can select the vehicle they want to drive and drive it for as long as they want to.

“Canvas has built innovative subscription products that are relevant to consumers today, and like Fair, has opened up new ways for consumers to gain access to mobility,” Georg Bauer, co-founder and chairman of Fair said. “This acquisition underscores our shared commitment to providing consumers with the car they want on their own terms.”

Ford’s Canvas service was created in 2017 and has amassed 3,800 subscribers over this time in the areas of San Francisco, Los Angeles, and Dallas. Fair has more than 45,000 members and is available in 30 markets.

Shares of Ford stock were up 0.16 percent as of 3:42 p.m. ET on Thursday.