Benzinga | Dec 21, 2021 06:03AM EST

Ford Mustang Mach-E Joins Tesla Model 3 In Ranks Of New York's Yellow Taxis

Don't be surprised if you hail a cab in New York and it turns out to be a Mach-E!

Ford Motor Co's (NYSE:F) Mustang Mach-E is the latest electric vehicle to join the fleet of iconic yellow taxis in New York, a little over a year after Tesla Inc's (NASDAQ:TSLA) debut with the Model 3.

What Happened: Electric vehicle startup Gravity said it would be running the fleet, which would also have Tesla's mid-size electric sports electric vehicle Model Y.

The startup said it aims to deploy a fleet of at least 50 cabs but did not say how many of those will be Mach-Es.

"Gravity's first vehicle is a Ford Mustang Mach E -- making Gravity's the first taxi fleet to include the Mach E. Gravity will also deploy a Tesla Model Y once final inspections are complete," the startup said in a statement.

See Also: Why Elon Musk Can't Wrap His Head Around Tesla Stock's Surge

All Gravity taxis are priced at standard NYC yellow taxi rates, predictable pricing with no surge or premium rates.

Passengers can hail the cab on the street or through standard yellow taxi e-hail apps. The electric vehicles would be charged during overnight hours to maximize the hours that vehicles are available to carry passengers.

See Also: Tesla Model 3 Yellow Taxi Cabs Begin Giving Rides In NYC

Why It Matters: Tesla's Model 3 was the first all-electric yellow taxi cab in New York City as part of a fleet run by Drive Sally. Unlike other cabs that operate 24 hours a day, the Model 3s are brought in overnight to charge.

Car rental companies have been showing significant interest in electric cars. Hertz (NASDAQ:HTZWW) earlier this year said it would buy 100,000 Model 3 sedans by the end of 2022. Days later, Hertz revealed that Uber would rent nearly half of those electric vehicles to its ride-hail drivers.

Price Action: Ford shares closed 1.82% lower at $19.42 a share on Monday.